Peso ends week stronger, stocks dip

The peso opened the day at 52.05 and traded between 52.09 and 51.765, resulting in an average of 51.987. (Shutterstock Photo)

MANILA — The peso ended the week on a strong note while local stocks tumbled, as investors turned cautious ahead of earnings season of the United States (US).

The barometer Philippine Stock Exchange index (PSEi) declined Friday by 0.94 percent, or 74.98 points, to 7,880.82.

“The PSEi falling today is a clear sign of investors playing defensively and taking money off the table ahead of the first-quarter US corporate earnings season,” AAA Equities president William Matthew Cabangon said.

Cabangon noted these earnings from the major US corporations should be watched closely, as “investors everywhere look for signs on whether the global economy is truly slowing down.”

He said these bellwether disclosures will be driving sentiment over the next few weeks.

All sectors closed the day in the negative territory, led by mining and oil and services which declined by 1.92 percent and 1.20 percent, respectively.

Volume reached 595.78 million shares amounting to PHP7.03 billion.

Decliners edged advancers at 121 to 71 shares, while 45 shares were unchanged.

Meanwhile, the local currency ended the day at 51.765 against the US dollar from the previous day’s 51.835.

The peso opened the day at 52.05 and traded between 52.09 and 51.765, resulting in an average of 51.987.

Total volume reached USD998.4 million from previous day’s USD690.5 million.