PSEi drops as funds shift to US
Credit to Author: Tyrone Jasper C. Piad| Date: Mon, 09 Dec 2019 16:18:28 +0000
The local bourse dipped as investors picked US markets instead following news about upbeat jobs data on Monday.
The benchmark Philippine Stock Exchange index (PSEi) dropped by 0.28 percent or 21.92 points to finish at 7,779.80 while the wider All Shares slid by 0.17 percent or 8.08 points to close at 4,637.88.
“Philippine shares remained flat as investors poured money into the US stock market instead with jobs growth topping expectations,” Regina Capital Development Corp. head of sales Luis Limlingan said.
Hopes that the US and global economy could be showing signs of picking up were given a boost on Friday when the Labor Department said the US economy created 266,000 net new jobs in November, while it upgraded its readings for the previous two months.
The figure was well up from the 190,000 expected, while the report also showed unemployment at a 50-year low and wages growth improving.
AAA Equities head of research Christopher Mangun, for his part, said: “The sentiment right now is extremely gloomy, and nothing seems to give investors any reprieve.”
“The next two weeks are going to be crucial for global markets, what we are seeing may be the calm before the storm,” he added.
Wall Street was up. Dow Jones, S&P 500 and Nasdaq climbed by 1.22 percent, 0.91 percent and 1 percent, respectively.
In Asia, Tokyo rose 0.33 percent, Shanghai inched up by 0.08 percent, Hong Kong added 0.03 percent, Seoul gained 0.33 percent, Jakarta increased 0.18 percent, and Vietnam climbed by 0.26 percent.
Singapore dipped 0.21 percent and Thailand fell 0.18 percent.
In Manila, sectors were mix. Financials, industrial and mining and oil rose while the rest ended in the red.
Volume turnover stood at 576.20 million amounting to P5.55 billion.
Decliners led advancers, 105-81, while 48 issues were unchanged.
WITH A REPORT FROM AFP