Uneasiness grips PH stocks over inflation forecasts

Anxiety over local April inflation projections rocked investors on Thursday, with the benchmark index dipping below 6,700.

By the end of the session, the Philippine Stock Exchange Index slipped by 0.81 percent, or 53.94 points, to 6,646.55.

Likewise, the broader All Shares Index declined by 0.61 percent, or 21.36 points, to 3,504.58.

A total of 501.32 million shares valued at P4.77 billion changed hands, stock exchange data showed.

Mikhail Plopenio, researcher at Philstocks Financial Inc., said traders were discouraged by the Bangko Sentral ng Pilipinas’ latest inflation forecast.

“Investors worry that inflation for April may grow faster than March’s 3.7 percent and even exceed the upper end of the government’s target range,” he said.

The central bank earlier said April inflation may be above the 2-percent to 4-percent target range due to higher prices of meat and rice. The peso has also been weakening in recent days, causing prices of petroleum products to increase.

International Container Terminal Services Inc. was the top-traded stock as it rose by 5.14 percent to P348 each.

It was followed by Metropolitan Bank and Trust Co., up 2.71 percent to P71.90; SM Investments Corp., down 1.47 percent to P936; Ayala Land Inc., down 3.65 percent to P27.70; and BDO Unibank Inc., down 1.42 percent to P146.10.

SM Prime Holdings Inc. was unchanged at P27.95 per share; DigiPlus Interactive Corp. surged 14.47 percent to P12.34; Manila Electric Co., down 1.08 percent to P365; Jollibee Foods Corp., down 3.99 percent to P226; Ayala Corp., down 2.26 percent to P601.

Losers edged out advancers, 110 to 76, while 54 companies closed unchanged, stock exchange data also showed.