The stock market fell for a second straight session Monday, with investors keeping tabs on the war in Ukraine and renewed spikes in global oil prices.
The Philippine Stock Exchange Index was down 51.03 points, or 0.7 percent, to 6,956.60 on a value turnover of P7.6 billion. Losers beat gainers, 103 to 78, with 53 issues unchanged.
Noodles maker Monde Nissin Corp. sank 4.5 percent to P13.70, while Solar Philippines Nueva Ecija Corp., which is building the biggest solar farm in Southeast Asia, dropped 3.3 percent to P1.76.
SM Investments Corp. of the Sy Group declined 2.5 percent to P880, while major property developer Ayala Land Inc. of the Ayala Group slid 2.1 percent to P34.70.
The rest of Asian markets were mixed Monday after last week’s rally, while oil prices extended gains.
Confidence remains at a premium owing to the crisis in eastern Europe—which threatens to deal a hefty blow to the global economy—as well as central bank monetary tightening measures.
Traders struggled to maintain the buying enthusiasm seen last week that was fueled by bargain-buying and China’s pledge to support beaten-down markets and indication that a crackdown on the tech sector was nearing an end.
Hopes for an end to the war were given a boost Sunday when authorities in Turkey, where Russian and Ukrainian representatives have been negotiating, said the two sides were close to a deal to stop the fighting.
Turkish presidential spokesman Ibrahim Kalin said the sides were negotiating six points: Ukraine’s neutrality, disarmament and security guarantees, the so-called “de-Nazification,” removal of obstacles on the use of the Russian language in Ukraine, the status of the breakaway Donbas region and the status of Crimea annexed by Russia in 2014.
Ukrainian President Volodymyr Zelensky on Sunday urged direct talks with Russian counterpart Vladimir Putin as the only way to end the war.
“Dialogue is the only way out,” he said on CNN. “I think it’s just the two of us, me and Putin, who can make an agreement on this.”
After a healthy performance on Wall Street on Friday, Asia struggled to maintain momentum.
Hong Kong fell for a second day following the massive gains enjoyed on Wednesday and Thursday after Chinese authorities announced they would provide support to markets battered by recent volatility. But the lack of specifics as of Monday weighed on sentiment.
There was little major reaction after Hong Kong leader Carrie Lam unveiled plans to ease containment measures and lift a ban on flights from several countries including Britain and the United States.
Sydney, Seoul, Mumbai, Jakarta and Bangkok also slipped, but Shanghai, Singapore, Taipei and Wellington edged up. Tokyo was closed for a holiday.
“Stabilizing stock markets point to less cautious investors,” said Stephen Innes of SPI Asset Management. “Not because views on geopolitical or policy/rates risk have improved but because price action shows a market more tolerant of those challenges.”
Markets were sent into a tailspin when Russia invaded its neighbor almost a month ago, sending the price of commodities including oil, nickel and wheat soaring, putting further upward pressure on already high inflation. With AFP