Market retreats on lack of fresh catalysts

MANILA, Philippines — The stock market opened the week on a sour note on the absence of fresh catalysts.

The Philippine Stock Exchange index lost 0.73 percent or 48.29 points, ending on its second straight session of decline at 6,571.60.

Also finishing in negative territory was the broader All Shares index at 3,510.08, down by 0.38 percent or 13.41 points.

Michael Ricafort, chief economist at Rizal Commercial Banking Corp., said the stock market gauge retreated for the second straight day after mostly cautious or higher for longer signals from most US Federal Reserve officials.

“Philippine shares got off to a weak start as the US closes the month of May on a shortened holiday, while concerns that the Fed might postpone an interest rate cut continue to linger,” Luis Limlingan of Regina Capital said.

Claire Alviar of Philstocks Financial said the local bourse dropped amid a lack of fresh catalysts.

“Investors were awaiting data that could influence the decision of the Bangko Sentral ng Pilipinas regarding interest rates,” she said.

Alviar said foreign investors also weighed on the market, registering a net outflow of P487.86 million.

Net market value turnover started weak at P3.81 billion.

All counters were in the red, except for industrial, which inched up by 0.26 percent.

Mining and oil was the biggest casualty, falling by 1.35 percent followed by financials, which fell by 0.90 percent.

Decliners pummeled advancers, 104 to 84, while 45 issues were unchanged.