Stocks pull back as worries over virus reemerge

MANILA, Philippines — Stocks pulled back to snap a three-day upswing yesterday as rising COVID-19 infections and lockdowns worldwide rattled investor sentiment anew.

Indexes in the Philippines and other Asian markets slipped in line with their broader Asian peers as mounting COVID-19 cases in Japan and South Korea and tighter restrictions in New York and London brought the focus back to the economic impact of the pandemic.

“Equity markets have probably priced in an initial launch of coronavirus vaccine in their eye-watering rally in November. For now, time might be needed for the vaccines to bring down the daily cases and show effectiveness in containing the pandemic,” Margaret Yang, a strategist at DailyFX wrote in a note.

The Philippine Stock Exchange index  or PSEi finished at 7,227.73, down 53.62 points or 0.73 percent. Likewise, the broader All Shares index slipped 17.50 points or 0.40 percent to close at 4,321.01.

Traders said the local stock market is moving sideways ahead of the holiday break as investors continue to look for more compelling reasons to stay invested.

Total value turnover was robust at P10.1 billion. Market breadth was negative, 128 to 95, while 49 issues were unchanged.