Shares struggled prior to BSP’s rate hike move
The benchmark Philippine Stock Exchange Index (PSEi) pulled back on Thursday as investors stayed on the sidelines ahead of the Bangko Sentral ng Pilipinas’ (BSP) decision to hike interest rates for the first time since 2018 to control surging consumer prices.
The PSEi lost 1 percent, or 67.55 points, to 6,660.05 while the broader all-shares index shed 0.62 percent, or 22.28 points, to 3,567.78.
The stock market closed before the BSP announced a 25-basis point hike to temper inflationary pressures after observing so-called second round effects (See related story on B1).
The BSP also expects inflation in 2022 to average 4.6 percent from 4.3 percent before easing lower to 3.9 percent next year.
Adding to weak market sentiments was the selloff in Wall Street overnight on fears that rising inflation would hurt global economic growth.
Among PSE subsectors, holding companies, property and services fell while mining and oil, financials and industrial advanced.
A total of 1.68 billion shares valued at P8 billion changed hands on Thursday. There were 105 losers against 79 gainers while 36 companies closed unchanged, PSE data showed.
Converge ICT Solutions Inc. was the most actively traded on Thursday, but it ended flat at P28 per share.
It was followed by SM Prime Holdings Inc., down 1.23 percent to P36.25; Monde Nissin Corp., up 5.09 percent to P15.70; BDO Unibank Inc., up 3.78 percent to P131.80; and International Container Terminal Services Inc., down 2.94 percent to P211.40 per share.
It was followed by SM Investments Corp., down 3.56 percent to P839; Ayala Land Inc., down 2.95 percent to P27.95; Globe Telecom, up 1.63 percent to P2,496; Ayala Corp., up 0.29 percent to P680; and PLDT Inc., down 1.01 percent to P1,951 per share.
