THE MAJOR INDEX edged higher on Monday amid weak trading, with the peso closing at 54 pesos to the dollar and US markets closed for a holiday.
The benchmark Philippine Stock Exchange Index (PSEi) rose 2.38 points or 0.03% to close at 6,333.94 on Monday, while the broader all-stock index fell 7, 17 points or 0.21% at 3,387.78.
“The stock market opened the week in a listless mood after the Philippine peso fell against the US dollar. The local stock barometer managed to post a slight gain after trading in a narrow band. its lowest level in more than three years due to overall greenback strength on the Federal Reserve’s aggressive monetary stance,” Manny P. Cruz, equity strategist at Papa Securities Corp., said in a Viber message.
The peso closed at P54.065 against the greenback on Monday, losing 31.5 centavos from its previous finish of P53.75. It was the first time the peso ended at the 54 pesos per dollar level since its close of 54.08 pesos on October 15, 2018.
“Local trading was sluggish as U.S. stocks go on vacation today and as global markets await the U.S. Federal Reserve Chairman’s semi-annual monetary policy testimony before the U.S. Senate Banking Committee and the House Services Committee. House of the United States on June 23,” added Mr. Cruz. .
Regina Capital Development Corp. sales chief Luis A. Limlingan also said the Philippine market had a quiet start to the trading week, with Wall Street closed for a public holiday.
“Sentiment improved on Friday after traders parsed comments from Federal Reserve officials who reiterated that the central bank needed to do more to rein in the highest inflation in 40 years,” he said. -he declares.
US financial markets are closed on June 20 in commemoration of June 19 or the end of slavery in the world’s largest economy.
Federal Reserve Governor Christopher Waller said on Saturday he would support another 75 basis point (bp) hike in their July review amid rising inflation.
The majority of sector indices ended in the red with the exception of holding companies which gained 53.08 points or 0.91% to 5,841.09 and industrials which rose by 4.79 points or 0.05% to 8,789.96.
At the same time, real estate fell by 34.48 points or 1.16% to 2,933.96; mining & oil fell 114.33 points or 0.98% to 11,470.63; services fell 11.50 points or 0.67% to end at 1,696.11; and financials lost 1.05 points or 0.06% to close at 1,553.53.
Decliners outnumbered advanced, 108 to 81, while 52 names remained unchanged.
Turnover in value fell to 3.57 billion pesos on Monday, with 764.92 million shares traded against 11.71 billion pesos with 917.40 million pesos issued the previous trading day.
Net sales abroad fell to 215.28 million pesos on Monday from 292.27 million pesos seen on Friday. — Luisa Maria Jacinta C. Jocson