Stocks track decline in regional markets

The stock market opened the week with a huge decline, taking the cue from its peers in Asia on worries over slowing global growth.

Analysts said the sharp drop was a sign that volatility continues to characterize the local equities market.

Thus, the benchmark Philippine Stock Exchange index (PSEi) plunged by 112.85 points, or 1.51 percent, to close at 7,348.21.

Likewise, the broader All Shares gauge was down 54.74 points or 1.21 percent to end at 4,441.14.

The rest of the indices also posted losses with the holding firms having the biggest decline with a loss of 2.11 percent.

Foreign buying was at P12 billion, while foreign selling was at P8 billion, resulting in net foreign selling of P4 billion.

Total value turnover reached P14.84 billion while market breadth was negative, 134 to 59. Forty-three issues were left unchanged.

Commenting on the market rout, Christopher Mangun of Eagle Equities said the stock market took the cue from its peers in Asia.

“Equities markets were down in Asia including here in the PSE as worries that a rise in tensions between Washington and Beijing could ruin the chances of a trade deal. Markets in the west and Europe are seen to follow suit,” Mangun said.

He said the PSEi continued the negative momentum from last week coupled with negative external factors.