PSEi drops 3.5% as investors bugged by negative growth of domestic, US GDP

on

The benchmark Philippine Stock Exchange index (PSEi) ended the trading week lower by 3.5 percent as investors took their profits amid the 9.5-percent contraction of the country’s gross domestic product (GDP) in 2020 and the US economy turning in a -3.5-percent performance for the same year.

And with the contraction of US GDP, the head of the Federal Reserve warned of a long road to recovery for the world’s biggest economy.

“Local shares traded slightly negative as the final print of 2020 GDP (gross domestic product) showed a slower contraction. However, many opted to sell after the US Fed’s message did not sit well within investors,” Luis Limlingan, Regina Capital Development Corporation head of sales, said.

The Federal Open Market Committee (FOMC) also kept the Federal Reserve’s funds rates target range to between 0 to 0.25 percent, with monetary authorities saying the pace of economic recovery has “moderated in recent months.”

The benchmark Philippine Stock Exchange index (PSEi) shed 239.22 points or 3.49 percent to finish at 6,612.62 on Friday, while the all shares index slid by 101.01 points or 2.45 percent to close at 4,007.33.

 

Most of the sectoral gauges also finished the day in the negative territory, led by the Mining and Oil index, which declined by 2.17 percent.

 

It was trailed by Services, 1.43 percent; Industrial, 0.48 percent; and Financials, 0.39 percent.

 

On the other hand, both the Holding Firms and Property indexes rose by 0.09 percent.

 

Volume totaled 56.22 billion shares amounting to P8.8 billion.

 

Losers led gainers at 136 to 73, while 53 shares were unchanged.


Discover more from Current Ph

Subscribe to get the latest posts sent to your email.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

MUST READ

Is Criticizing 107 Billion Pesos in Flood Control in...

There is an important question that the Armed Forces of the Philippines—and, frankly, the entire Philippine government—needs to answer. When the AFP warns that foreign...

VP Sara Duterte impeachment trial I Day 19

https://www.youtube.com/watch?v=JRZVHmRnJ4UWatch the live proceedings and latest developments surrounding the impeachment case of Philippine Vice President Sara Duterte. This livestream covers the Senate hearings, presentations...

VP Sara Duterte impeachment trial I Day 19

https://www.youtube.com/watch?v=iip8sUBkePoWatch the live proceedings and latest developments surrounding the impeachment case of Philippine Vice President Sara Duterte. This livestream covers the Senate hearings, presentations...

VP Sara Duterte impeachment trial I Day 18

https://www.youtube.com/watch?v=8JkyqjNkq6YWatch the live proceedings and latest developments surrounding the impeachment case of Philippine Vice President Sara Duterte. This livestream covers the Senate hearings, presentations...

VP Sara Duterte impeachment trial I Day 17 (part...

https://www.youtube.com/watch?v=ItbgXz9smkMWatch the live proceedings and latest developments surrounding the impeachment case of Philippine Vice President Sara Duterte. This livestream covers the Senate hearings, presentations...

Discover more from Current Ph

Subscribe now to keep reading and get access to the full archive.

Continue reading

Discover more from Current Ph

Subscribe now to keep reading and get access to the full archive.

Continue reading