Stocks tumble as peso hits new record low

MANILA, Philippines — The local stock market extended its losing streak, weighed down by the peso depreciation to a fresh historic low.

The bellwether Philippine Stock Exchange index tumbled by 0.58 percent or 34.36 points to end at 5,866.79.

The broader All Shares index also slipped by 0.44 percent or 14.73 points and settled at 3,320.40.

“The index fell for a fifth straight session as the peso weakened to a record 61.30 and Brent surged to $110, stoking inflation fears and expectations of further BSP tightening,” AB Capital Securities said.

The peso sank to a fresh record low of 61.30 yesterday as persistent global headwinds and strong dollar demand continued to pressure the local currency.

Philstocks Financial research manager Japhet Tantiangco said investors continue to worry over the situation between the United States and Iran as the two remain without a deal.

“Investors also continue to price in rising inflation and interest expectations for the local economy,” Tantiangco said.

Sectors were again mixed, with those in the red with an advantage. Industrial took the biggest plunge at 1.32 percent, while mining and oil picked up 0.07 percent.

Trading was strong as total turnover value expanded to P8.07 billion from the previous day’s P5.36 billion.

Market breadth was negative as decliners squashed advancers, 117 to 68, while 58 issues were unchanged.

Ayala Corp. was the session’s top traded stock, inching down by 0.13 percent to P472.40 per share. It was followed by BDO Unibank, which grew by 0.63 percent to P112.70 and ICTSI, which decreased by 0.84 percent to P706.