Jitters sway PH trading as Fed meets

MANILA, Philippines — Anxiety continued to grip investors on Tuesday as the US Federal Reserve’s upcoming policy direction is expected to prolong high interest rates.

The benchmark Philippine Stock Exchange Index (PSEi) slightly went down by 0.07 percent, or 4.86 points, to 6,848.43, while the broader All Shares Index contracted by 0.12 percent, or 4.41 points, to 3,566.48.

A total of 897.73 million shares valued at P5.79 billion changed hands, while foreigners made net purchases of P244.88 million, data from the stock exchange showed.

“Investors seem to be cautious ahead of the Federal Reserve’s policy meeting, given that the US’ producer price index data last Friday was higher than expected,” said Mikhail Plopenio, researcher at Philstocks Financial Inc.

Concerns over inflation

The American central bank started its two-day meeting on Tuesday amid concerns over recent inflation data.

READ: Fed’s Powell still sees rate cuts, but inflation progress ‘not assured’

International Container Terminal Services Inc. was the top-traded stock as it went down by 0.07 percent to P307 per share.

It was followed by Universal Robina Corp., down 4.78 percent to P99.70 per share; Bloomberry Resorts Corp., which plunged by 8.7 percent to P10.50 per share following its $300-million settlement with a Las Vegas-based casino manager; BDO Unibank Inc., up 0.33 percent to P153.50; and Jollibee Foods Corp., up 3.08 percent to P268 per share.

READ: US Fed’s policy route worries local investors

Metropolitan Bank and Trust Co. went down by 3.31 percent to P64.30 per share; Bank of the Philippine Islands, up 1.83 percent to P122.70; SM Investments Corp., which was unchanged at P980 per share; SM Prime Holdings Inc., up 2.7 percent to P32.35; and Ayala Land Inc., up 1.38 percent to P33 per share.

Overall, there were 84 advancers against 114 losers, while 48 companies closed unchanged, data from the stock exchange also showed. —Meg J. Adonis INQ