Local markets retreat on risk-on sentiment

With uncertainties growing, the peso opened the week at 52.78, a deprecation from the 52.689 in the previous session. (Pixabay Photo)

MANILA — Geo-political uncertainties continue to worry investors resulting in the drop of the Philippine Stock Exchange index (PSEi) and the weakness of the peso during the week’s first trading day.

The local currency ended the day at 52.8 from 52.71 Friday last week.

The Bank of the Philippine Island (BPI), in its market report, said “market players assessed global risks such as slower global growth and the ongoing dispute between US and China regarding the arrest of a Chinese tech giant official,” it said.

It was referring to the recent arrest by Canadian authorities of Huawei Chief Financial Officer Meng Wanzhou in Vancouver at the behest of the US government, on allegations the Chinese company violated sanctions against Iran.

With uncertainties growing, the peso opened the week at 52.78, a deprecation from the 52.689 in the previous session.

It traded between 52.825 and 52.72, resulting to an average of 52.

786.

Volume reached USD603.12 million, lower than the USD973.

95 million last Friday.

The currency pair is seen to trade between 52.60 and 52.90 Tuesday.

Also, the PSEi lost 1.51 percent, or 112.85 points, to 7,348.21 points.

All the other counters finished on the red, with the broader All Shares down by 1.22 percent, or 54.74 points, to 4,441.14 points.

Holding Firms posted the biggest decline after it fell 2.11 percent and was trailed by the Financials, 1.

58 percent; Property, 1.26 percent; Industrial, 1.13 percent; Mining and Oil, 1.11 percent; and Services. 0.33 percent.

Volume reached 2.3 billion shares, with the amount shoring up to Php14.84 billion.

Losers led gainers at 134 to 59 shares while 43 shares were unchanged.