Phl bourse continues slide on profit-taking, overseas concerns

MANILA, Philippines (Xinhua) - The Philippine stock market bucked the global equities' rallies and posted its biggest weekly drop on profit taking and the recent developments overseas, which overshadowed the local central bank's recent move.

The bellwether Philippine Stock Exchange index posted a weekly drop of 2.33 percent after slipping by another 0.6 percent, or 40. 11 points, today to close the week's session at 6,654.60. All in all, it has been a bloody week for the Philippine composite index which fell for five straight days.

The broader all-share index was also down by 0.33 percent, or 13.80 points, to 4,169.50.

Trading volume reached 1.74 billion shares worth P12.38 billion ($304.99 million), with 102 stocks declining, 57 advancing, and 51 were unchanged.

Italy's inconclusive election which threatens to draw the economy to a political deadlock has also provided investors with reason to book their gains.

Italy accounts for less than a fifth of the Eurozone's aggregate gross domestic product and is the third largest economy behind Germany and France.

The dim outlook on China's economy has also heightened investors' apprehension.

2TradeAsia.com said the local equities initially opened today' s session positively at 6,717.35 and even rallied to as high as 6, 732.64 - 38 points higher from Thursday close.

"Gauges were be ripe for recovery, following PSE's decline below the 6.700 mark. This was supported by local monetary official's move to reduce Special Deposit Account rates which should encourage lending," 2TradeAsia.com said.

However, investors seem to be unimpressed, prompting a sell-off in blue chips.

These include heavyweight Philippine Long Distance Telephone Co. and Ayala Land, Inc.

Bloomberry Resorts Corp., a recent favorite, also suffered a 5. 02 percent drop a day before it officially opens its casino to the public