PSEi retreats on Iran-Israel conflict
Local stocks retreated on Monday as renewed hostilities in the Middle East dampened investor sentiment, pushing the benchmark index back below the 5,900 level.
The Philippine Stock Exchange Index (PSEi) fell 0.99 percent or 58.97 points, to close at 5,879.41.
Brokerage Philstocks Financial Inc. said market sentiment weakened after the conflict between Iran and Israel escalated anew, triggering concerns over potential disruptions to global energy supplies.
The geopolitical developments also drove oil prices higher and weighed on the peso during the trading session.
Luis Limlingan, head of sales at Regina Capital Development Corp., said the PSEi closed lower as selling pressure mirrored sharp declines across regional markets.
“Risk appetite weakened amid heightened geopolitical uncertainty following reports of renewed strikes involving Iran. These developments kept investors defensive, reinforcing a risk-averse market tone,” Limlingan added.
Trading activity remained subdued, with net value turnover reaching only P5.57 billion, reflecting cautious participation among investors.
Foreign investors stayed on the sidelines and ended the session as net sellers, pulling out a net P754.31 million from the local market.
Losses were broad-based, with all sectoral indices finishing in negative territory. The mining and oil sector posted the steepest decline, plunging 4.04 percent as investors reacted to heightened volatility in commodity markets.
Market breadth also reflected the weak sentiment, with only six PSEi constituents ending in positive territory.
