Index plunges below 7,000 level

MANILA, Philippines - The Philippine Stock Exchange index (PSEi) fell below the 7,000 mark yesterday, retreating by more than 82 points as election jitters continue to hound the market.

Analysts said investors continue to fear a Rodrigo Duterte presidency especially after the latest Pulse Asia survey showed the former Davao mayor as still the top contender.

The main composite index tumbled 82.11 points to settle at 6,999.75, while the broader All Shares index declined 43.76 points or 1.04 percent to finish at 4,162.12.

All the counters ended in negative territory, with the services and holding firms leading the losers.

Total value turnover was thin at P5.63 billion. Advancing stocks lost over decliners, 121 to 58 in favor of the declining stocks. There were 46 stocks that were left unchanged.

“Survey leader Rodrigo Duterte, a no-holds barred outspoken Mayor of Davao City, has gamely stuck to his image and failed to outline corned economic policies when he faced businessmen last week,” said Justino Calaycay of A&A Securities.

He said it is natural for the business community to consider scenarios under who the survey says is the most probably winner.

“Unfortunately, while the overall theme of peace and order and disgust over criminally and drugs have resonated well across all segments of the electorate, his recent statements which are closes to defining his policies have struck a sensitive nerve even among some of his supporters,” Calaycay said, referring to the controversial threat of Duterte to severe ties with the US and Australia.