PHILIPPINE SHARES dropped on Thursday, snapping their three-day climb, as investors booked profits and as jitters over ongoing global trade tensions continued to weigh on the market.
The Philippine Stock Exchange index (PSEi) went down by 0.16% or 10 points to 6,158.48 on Thursday, while the broader all shares index slipped by 0.01% or 0.53 point to 3,658.25.
“The PSEi slightly corrected lower, considered a modest profit-taking after gaining for three straight trading days, after mixed signals from US President Donald Trump and US Treasury Secretary Scott Bessent on possible easing of China tariffs,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.
“The local market’s sideways movement ended in the negative territory as investors booked gains after three days of rising. Downside risks to the local economy’s momentum brought by the US-ignited global trade frictions weighed on the market,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message.
Global stocks drifted on Thursday as investors tried to sift through the noise from the Trump administration and its fickle stance on tariffs and the Federal Reserve’s leadership, Reuters reported.
The Trump administration would look at lowering tariffs on imported Chinese goods pending talks with Beijing, a source told Reuters on Wednesday.
Treasury Secretary Scott Bessent said high tariffs between the US and China were not sustainable, but also said such a move would not come unilaterally, echoing comments from White House spokesperson Karoline Leavitt.
China’s commerce ministry said on Thursday the United States should lift all unilateral tariff measures against China if it “truly” wanted to solve the trade issue.
“Philippine shares gave off minor gains as the market continued to trade in a narrow range following Mr. Trump’s softened stance on the trade war with China,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan added in a Viber message.
Majority of sectoral indices rose on Thursday. Mining and oil went up by 2.09% or 206.80 points to 10,074.21; holding firms increased by 0.99% or 50.43 points to 5,146.44; industrials climbed by 0.51% or 44.74 points to 8,691.02; and property edged up by 0.01% or 0.24 point to 2,229.92.
Meanwhile, services went down by 1.46% or 28.92 points to 1,943.53 and financials dropped by 0.39% or 9.46 points to 2,392.83.
Value turnover went down to P6.13 billion on Thursday with 631.51 million shares traded from the P8.17 billion with 650.38 million issues exchanged on Wednesday.
Advancers outnumbered decliners, 112 versus 90, while 36 names were unchanged.
Net foreign selling increased to P291.87 million on Thursday from P153.42 million on Wednesday. — Revin Mikhael D. Ochave with Reuters
