Stocks dip as investors deal with virus cases, typhoon damage

Local shares declined on Friday as investors worried about the economic impact of the rising COVID-19 cases and the damage brought by Typhoon Ulysses on many parts of Luzon, including the country’s capital.

The Philippine Stock Exchange index (PSEi) ended the session down by 54.38 points or 0.77% to close at 6,969.88. The day before, the market was closed for trading due to bad weather caused by the typhoon’s onslaught.

The broader all-shares index decreased by 0.47% or 19.25 points to finish at 4,083.55.

“Local shares ended the week lower as investors continued to deal with the rising number of COVID-19 cases and its potential economic impact. In addition many investors remained on the sidelines to assess the damage brought about by Typhoon Ulysses,” Regina Capital Development Corp.’s Managing Director Luis A. Limlingan said in a Viber message.

He said investors were also weighing the plan of US President-Elect Joe Biden to place the country under weeks-long lockdown to stem the transmission of the virus.

For Diversified Securities, Inc. equity trader Ancieto K. Pangan, the local market continued its downtrend in line with many regional markets on Friday.

The majority of the sectoral indices ended Friday’s session with losses. Financials declined by 21.48 points of 1.59% to 1,326.57; holding firms decreased by 108.77 points or 1.49% to 7,215.79; industrial went down 122.45 or 1.33% to 9,072.19; and services dipped by 1.25 points or 0.08% to 1,541.07.

Meanwhile, property gained 50.93 points or 1.46% to 3,528.59; and mining and oil inched up by 18.23 or 0.22% to 8,298.94.

Mr. Pangan said in a text message that the mining and oil sector experienced sustained momentum because of a weak dollar while the property sector continued to improve due to the easing of lockdown restrictions.

Value turnover stood at P10.7 billion, with about 1.80 million switching hands, down from Wednesday session’s P14.5 billion at 2.04 million shares.

Advancers led decliners, 119 against 85, with 54 unchanged. — A. Y. Yang

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