Geopolitical tensions drag down local market

MANILA, Philippines — The local stock market tumbled to end the week in the red territory as investors took caution amid concerns over the ongoing conflict between Israel and Iran.

The benchmark Philippine Stock Exchange index (PSEI) slipped by 0.27 percent or 17.24 points to close yesterday’s session at 6,339.77.

The broader All Shares index also finished in the loss column, declining by 0.49 percent or 18.62 points to settle at 3,760.56.

“The local market declined as Israel-Iran tensions continued to weigh on sentiment, especially with the US considering the possibility of it getting involved in the conflict,” Philstocks Financial research manager Japhet Tantiangco said.

Tantiangco said investors also dealt with the economic consequences of the conflict, including the rise in oil prices and the depreciation of the peso.

Most local gauges finished lower, with the property index losing the most with a 1.64-percent drop.

Mining and oil, meanwhile, soared by 5.34 percent, while holding firms inched up by 0.23 percent.

Total value turnover surged to P12.27 billon from the previous day’s P4.43 billion.

Foreigners were net sellers with net outflows at P835.44 million.

Decliners pummeled advancers, 120 to 67, while 50 issues were unchanged.

BPI was the session’s most actively traded stock, declining by 0.51 percent to P136.90 per share, followed by DigiPlus which plunged by 4.89 percent to P57.35 and Monde Nissin with a1.97-percent jump to P7.24.

Stocks were mixed following a public holiday in New York, with Hong Kong, Taipei, Mumbai and Bangkok all up with London, Paris and Frankfurt.