Local stocks tumbled on Tuesday as investors stayed risk-averse even as the government allowed masks to come off outdoors, easing a longstanding pandemic rule.
Ahead of the release of US inflation data, the benchmark Philippine Stock Exchange Index shed 0.21 percent, or 13.94 points, to 6,701.81 while the broader All Shares Index dipped 0.08 percent, or 2.99 points, to 3,542.83. President Marcos issued Executive Order No. 3, allowing the optional wearing of face masks outdoors and in well-ventilated areas.
Luis Gerardo Limlingan, head of sales at stock brokerage house Regina Capital Development, said investors were still focused on the upcoming US inflation data for August, which was expected to retreat further to 8 percent from the previous month’s 8.5 percent. “Philippine shares settled slightly lower ahead of the important US [consumer price index] data which will be out ahead of the [Federal Reserve’s] September meeting,” he said in a note to investors.
Jonathan Ravelas, financial strategy consultant at e-Methods for Business Management Corp., said local inflation had yet to peak, making the stock market vulnerable to selloffs. He expects a downward retest of the 6,300 to 6,000 levels.
Stocks ended the session mixed, with financials and holding firms pushing higher while property, industrial, mining and oil and services slipped. AbaCore Capital Holdings Inc. was the top traded stock as it fell 14.29 percent to P2.34 per share after a more than 200 percent rally since March.
It was followed by San Miguel Corp., down 0.66 percent to P98; Ayala Land Inc., down 2.23 percent to P28.50; BDO Unibank Inc., up 1.48 percent to P129.90; and SM Investments Corp., down 0.06 percent to P884.50 per share. Bank of the Philippine Islands closed flat at P98.25; SM Prime Holdings Inc., up 0.27 percent to P36.55; Universal Robina Corp., down 1.48 percent to P126.40; Ayala Corp., up 0.95 percent to P740; and, Globe Telecom, up 0.47 percent to P2,140 per share.
There were 107 advancers against 71 decliners. INQ