Share prices retreat on oil worries, looming rate cuts

MANILA, Philippines — The stock market pulled back yesterday after a last minute climb on Monday.

The benchmark Philippine Stock Exchange index retreated by 64.67 points, or 0.80 percent to close at 7,932.23 while the broader All Shares index also declined by 28.85 points, or 0.59 percent, to end at 4,794.20.

The rest of the sectors ended in negative zone as well except for the industrial index which managed to stay afloat by 0.09 percent.

Total value turnover was also thin at P5.2 billion and market breadth was negative 126 to 73 while 45 issues were unchanged.

BPI Trade said investors remain cautious amid oil price volatility and ahead of the policy decisions by both the Federal Reserve and the Bangko Sentral ng Pilipinas.

Traders said investors are still digesting the oil price volatility looming in the horizon following the recent attacks on Saudi Arabia oil assets.

“Elevated oil prices amid geopolitical tensions in the Middle East sent local stocks lower by 64.67 points at 7,932.23. Volume and value turnover posted 720.07 million and P5.21 billion respectively,” according to Philstocks Financials.

Asian markets were mixed as well following the uncertainties in the Middle East oil market, Philstocks also said.

Foreign buying was at P3 billion while foreign selling prevailed at P3.2 billion or a net foreign selling of P214 million.