Share prices retreat on lack of catalysts

MANILA, Philippines — The stock market retreated yesterday due to the absence of strong market catalysts.

Thus, the benchmark Philippine Stock Exchange index (PSEi) lost 84.68 points, or 1.07 percent, to close at 7,797.11.

Likewise, the broader All Shares gauge shed 28.74 points, or 0.59 percent, to end at 4,817.22.

It was a red letter day for all the sectors as well with the holding firms posting the biggest decline.

Total value turnover was also thin at P5.302 billion and market breadth was negative, 111 to 94.

“Lack of strong catalyst sends shares on lower note but snapped the week-on-week losses. Bargain hunting and foreign inflow of funds buoyed the market for the week above the 7,600 mark,” Philstocks Financials said.

Eagle Equities said the local bourse joined most Asian markets which weakened amid concerns of global economic slowdown.

The market is in consolidation and concerns on a weakening global growth are dampening investor interest, traders said.

Earlier in the day, newly appointed central bank chief Benjamin Diokno said he would wait for fresh data to assess the inflation environment before pushing for a reduction in interest rates or banks’ reserve requirements.

This seemed to be a softening of his earlier statement that he would support monetary easing to support growth.