Renewed concerns over US-China trade conflict dampen stocks

MANILA, Philippines — The benchmark Philippine Stock Exchange index (PSEi) lost 39.25 points or 0.50 percent yesterday to close at 7,815.93.

Likewise, the broader All Shares index slipped 23.29 points or 0.50 percent to finish at 4,657.81.

The sectoral gauges were mostly down as well, except for the financials and industrial index.

Total value turnover reached P7.717 billion. Market breadth was negative, 122 to 58 while 47 issues were left unchanged.

Ayala-led Manila Water and Pangilinan-led Metro Pacific Investments Corp., parent firm of Maynilad Water Services Inc., took a beating yesterday following President Duterte’s fresh rant against the two companies, saying that their water concession agreements are disadvantageous to the public.

Manila Water’s shares lost 4.79 percent to finish at P17.90 per share while MPIC shed 10.71 percent to finish at P3.92 per share.

Uncertainties surrounding the US-China trade deal also dampened the market, traders said.

“Western equities markets slip further on comments from US President Trump that a trade deal may have to wait until after the 2020 presidential election. Asian equities followed suit as investors lose hope that a quick preliminary agreement can be reached before the Dec. 15 deadline. On the local front, several blue-chips got sold off after a strongly worded speech from President Duterte last night on going after companies that have contracts that are disadvantageous terms. The main index ended slightly lower on low trading volumes,” said Chris Mangun of AAA Securities.