THE peso returned to the P57:$1 level on Wednesday, gaining for a third straight day, but the stock market extended a decline and subsequently dropped into 6,600 territory.
The peso strengthened by 35 centavos to P57.88:$1 — its best close in nearly three months — while the benchmark Philippine Stock Exchange index shed 39.19 points, or 0.58 percent, to end the day at 6,690.77.
The broader All Shares also fell by 15.59 points, or 0.41 percent, to 3,776.89.
The peso opened at P58.18:$1 and ranged from P57.855 to P58.21. Volume dropped to P1.607 billion from P1.717 billion a day earlier.
Rizal Commercial Banking Corp. chief economist Michael Ricafort said the peso continued to gain due to a seasonal increase in overseas Filipino worker remittances.
Philstocks Financial Inc. research manager Japhet Tantiangco, meanwhile, said “the local market extended its decline as investors maintained a cautious stance while waiting for new key catalysts.”
“The exit of foreign funds also continued to weigh on the market,” he added.
Net value turnover was P5.20 billion, slightly higher compared to the year-to-date average of P5.18 billion.
“Net foreign selling for the day amounted to P468.59 million,” Tantiangco said.
Regina Capital Development Corp. Managing Director Luis Limlingan, meanwhile, said “Philippine shares slid below 6,700 once again with investors selling on news after the November CPI (consumer price index) came in slightly higher than the previous month.”
“Overall, the 2.5 percent CPI print was more or less in-line with the street view,” he added.
All sector indices but two were in the red, with services down the most by 1.86 percent. Holding firms, and mining and oil gained 0.39 percent and 0.17 percent, respectively.
On a company basis, decliners outnumbered gainers, 118 to 87, while 50 were unchanged.
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