Upcoming BSP meet tames investor frenzy, halts PSEi rally

MANILA, Philippines  —The benchmark Philippine Stock Exchange Index (PSEi) ended a five-day winning streak on Monday as investors booked profits ahead of the Bangko Sentral ng Pilipinas’ (BSP) first policy meeting this year.

The PSEi slipped 0.62 percent, or 42.34 points, to 6,807.82 while the broader All Shares index was down 0.23 percent, or 8.15 points, to 3,566.06. For the week, investors are anticipating the release of US inflation data on Feb. 13 and the BSP’s interest rate-setting meeting on Feb. 15.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the BSP could match the recent US Federal Reserve rate pause “in order to maintain healthy interest rate differentials to help support/stabilize the peso exchange rate, import prices and overall inflation.”

READ: BSP seen keeping 6.5% policy rate at Feb. 15 meet

Stock exchange data showed 510.2 million shares valued at P4.2 billion changing hands while net foreign buying amounted to P455.6 million.

Property, industrial decline

Most subsectors also fell lower on Monday, led by property (-1.29 percent) and industrial (-1.07 percent). Services, the sole gainer, rose 0.43 percent. Bank of the Philippine Islands was the top traded stock as it rose 1.06 percent to P114.60 per share.

It was followed by International Container Terminal Services Inc., up 1.11 percent to P274; SM Investments Corp., down 1.64 percent to P900; Ayala Corp., up 2.14 percent to P715; and BDO Unibank Inc., down 1.82 percent to P150.80 per share.

READ: Asian markets mixed, with most closed for holidays

Metropolitan Bank & Trust Co. was down 0.17 percent to P59.10; SM Prime Holdings Inc., down 1.88 percent to P34; Ayala Land Inc., down 1 percent to P34.55; Universal Robina Corp., down 0.90 percent to P110.30; and Manila Electric Co., down 1.91 percent to P360 per share. INQ