PSEi falls as ICTSI tumbles
Philippine stocks fell on Wednesday as a sharp decline in index heavyweight International Container Terminal Services Inc. (ICTSI) pulled the benchmark index lower, while foreign selling and persistent economic headwinds weighed on sentiment.
The Philippine Stock Exchange Index (PSEi) dropped 1.48 percent, or 84.31 points, to close at 5,617.23.
ICTSI slid 6.59 percent, dragging the index down even as advancing issues outnumbered decliners by four, according to Philstocks Financial Inc.
The brokerage said the port operator’s decline underscored its significant influence on the benchmark.
Gains elsewhere in the market were insufficient to offset the sell-off in the index heavyweight.
“Aside from the index heavyweight sell-off, lingering headwinds including elevated oil prices and bond yields, and the peso’s weakness weighed on the market,” Philstocks said.
“Sentiment was further dampened by the IMF’s (International Monetary Fund) warning that the Philippines could post Southeast Asia’s fifth-slowest growth this year amid weak investment and elevated inflation,” said Luis Limlingan, head of sales at Regina Capital Development Corp.
Trading remained tepid, with net value turnover reaching P5.98 billion.
Foreign investors ended the session as net sellers, recording net outflows of P902.34 million.
Sectoral indices finished mixed. Banks led the gainers, rising 0.99 percent, while services suffered the steepest decline at 4.97 percent.
GT Capital Holdings Inc. was the strongest performer among index stocks, climbing 4.65 percent to P446 per share.
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