PSEi, markets wince as US, China up ante in trade war

The local stock barometer slipped back to the 7,700 level on Thursday as fresh US-China trade war jitters spooked regional markets.

The main-share Philippine Stock Exchange index (PSEi) lost 78.67 points or 1 percent to close at 7,759.55.

Other stock markets across the region were likewise weaker as the United States, upon the behest of President Donald Trump, is considering to jack up the proposed tariff on $200 billion worth of Chinese goods to 25 percent from 10 percent, which could be implemented as early as next month.

Value turnover at the local stock market thinned to P4.9 billion. Foreign investors were net sellers for the day, resulting in a net outflow of P241.69 million.

There were 120 decliners that edged out 76 advancers, while 46 stocks were unchanged.

The PSEi was weighed down most by Meralco, which fell by 3.8 percent, while JG Summit, the day’s most actively traded company, tumbled by 2.62 percent.

Ayala Land, SM Investments, Jollibee, Ayala Corp., GT Capital and Security Bank all lost over 1 percent.

BDO, SM Prime, URC and AEV also slipped.

Outside of the PSEi, notable decliners included PXP, which dropped by 4.8 percent. PXP’s shares surged by 39 percent in the previous session following news that a draft framework for joint exploration for oil and gas between the Philippines and China would soon be out.

On the other hand, MPIC gained 3.09 percent as it hinted of the possibility of a resolution on a long-delayed tariff hike on its toll roads while arbitration on water tariff adjustment is expected to be concluded this year. MPIC also announced a 10-percent year-on-year increase in first semester core net profit to P8.6 billion.