PSEi drops below 6,500 as investors stay wary
MANILA -Investors had remained wary of the ongoing US debt ceiling issue, pushing the Philippine Stock Exchange index (PSEi) below the 6,500 level on Wednesday.
The benchmark PSEi fell by 0.51 percent, or 33.31 points, to close 6,477.36 while the broader All-Shares index slid 0.48 percent, or 16.75 points, to finish at 3,458.30.
“Overseas, investors were still waiting for the developments on the US debt ceiling, particularly with the growing opposition on the tentative deal,” Claire Alviar, Philstocks Financial Inc. assistant manager for research and online engagement, said.
She also noted that foreign investors fled the local equity market—as evidenced by net selling of P4.15 billion —after the Morgan Stanley Capital International (MSCI) rebalancing. “Philippine shares slid on heavy turnover as funds were tracking the latest MSCI rebalancing results and with the end of month window dressing at hand,” Regina Capital Development Corp. head of sales Luis Limlingan said.
MSCI rebalancing is an evaluation of the stocks comprising the index to ensure it serves as a benchmark for the market.All the sub sectors were in the red, except for financials and mining and oil indices, which rose by 0.44 percent and 0.01 percent, respectively.
About 2.27 billion shares valued at P24.54 billion were traded. Losers led winners, 94-83, while 49 issues were unchanged.
The shares of SM Prime Holdings, the most actively traded, declined by 3.40 percent to P32.70 each.
This was followed by Monde Nissin, down 1.22 percent to P8.10; Ayala Corp., down 2.94 percent to P660; PLDT Inc., down 1.88 percent to P1,200; Ayala Land Inc., up 0.19 percent to P26.30; and JG Summit, down 3.32 percent to P48.
Other active names were BDO Unibank, up 1.27 percent to P136; SM Investments Corp., 2.03 percent to P929; International Container Terminal Services, down 2.01 percent to P195; and Jollibee Foods Corp., down 0.42 percent to P235.60.