Business and Economy
US-NoKor threats weaken peso, PSEi
FILE PHOTO/ Front view of the Philippine Stock Exchange Building along Ayala Avenue, Makati City, Metro Manila (Photo by Patrick Roque – Taken using my camera with model DSC-HX5V, CC BY-SA 3.0)
MANILA, Aug. 10 — Geo-political concerns on recent carping exchanges between US and North Korea weakened the Philippine peso anew Friday and resulted in another contraction for the main stocks index.
The peso touched the 51-level to a dollar in the morning session but ended the trade at 50.98, Php0.18 weaker than its 50.795 finish Thursday.
Its latest finish was the local unit’s weakest after the 51.050 on Aug. 29, 2006.
A trader said warnings by US President Donald Trump against North Korea, which earlier reports said threatened to launch a missile attack in the US territory of Guam, continue to make investors jittery.
Thus, the peso opened the day weaker at 50.90 from 50.65 a day ago.
It traded between its opening level and 51.08 resulting in an average of 51.009.
Volume of trade totaled to USD690.1 million, lower than the USD692.55 million.
The trader expects the dollar to trade between 50.70 and 51.10 next week, with the factors for the peso’s performance include the second quarter gross domestic product (GDP) report and remittance report for June 2017.
The Philippine Stock Exchange index (PSEi) shed 0.48 percent, or 37.82 points, to 7,928.43 points.
Most of the other indices tracked the main gauge with the All Shares down 0.57 percent, or 26.75 points, to 4,681.81 points.
Property led the sectors in terms of decline after it contracted 1.54 percent, followed by Mining and Oil, 0.92 percent; Holding Firms, 0.71 percent; and Financials, 0.32 percent.
On the other hand, Industrial rose 0.41 percent and Services, 0.05 percent.
Volume in the week’s last trading day reached nearly two billion shares amounting to PHP5.5 billion.
Losers led gainers at 144 to 54 while 52 stocks were unchanged. (PNA)
