MANILA – The Philippine stock market experienced a decline on Thursday (30 May 2024), while the peso fell to its lowest level since November 3, 2022.
The Philippine Stock Exchange index (PSEi) dropped by 39.66 points, closing at 6,371.75. The broader All Shares index also fell, losing 26.17 points to close at 3,425.57.
Philstock Financials, Inc. research and engagement officer Mikhail Plopenio attributed the market downturn to the rise in US long-term Treasury yields.
“The increase in yields led to a further depreciation of the Philippine peso against the US dollar, which subsequently weighed on the local bourse,” Plopenio explained.
Additionally, inflation concerns were heightened following a statement from the Bangko Sentral ng Pilipinas indicating a high probability that inflation could exceed the upper end of the 2% – 4% target range. “The local bourse’s decline was in line with neighboring markets, which also traded lower on Thursday,” Plopenio added.
Most sectors closed in negative territory, with the Properties sector suffering the largest loss at 1.49%, followed by Industrials, which declined by 1.27%.
In the broader market, losers outnumbered gainers by 132 to 57.
Meanwhile, the peso closed at 58.635 to the dollar on Thursday, weakening from its 58.42 close on Wednesday. This marks its weakest performance since the 58.80 close on November 3, 2022.
The peso opened the day at 58.5 and traded within a range of 58.5 to 58.73, with a weighted average of 58.62.
The total volume of trade slightly declined to USD 1.38 billion from USD 1.39 billion.
(el Amigo/MNM)
