Stocks fell for a second day, reflecting the decline in Asian markets after a closely watched survey showed confidence at Japan’s top manufacturers had fallen to a three-year low.
The Philippine Stock Exchange Index, the 30-company benchmark, shed 17 points, or 0.2 percent, to close at 7,245.13 Friday. Despite the loss, the bellwether was still up 4.2 percent since the start of the year.
The heavier index, representing all shares, also dropped 10 points, or 0.3 percent, to settle at 4,196.74, on a value turnover of P5.8 billion. Losers outnumbered gainers, 104 to 91, while 46 issues were unchanged.
Eleven of the 20 most active stocks ended in the green, led by Now Corp., which jumped 17.3 percent to P1.29. The company said earlier it posted a profit in 2015, reversing the losses in recent years.
Property developer Filinvest Land Inc. gained 3.4 percent to P1.83, while Bank of the Philippine Islands rose 1.9 percent to P88.65.
Meanwhile, The Bank of Japan’s quarterly Tankan report of 10,000 firms showed sentiment plunged in January-March to plus six from 12. The survey marks the difference between the percentage of firms that are upbeat and those that see conditions as unfavorable. Forecasts had been for a reading of plus eight.
The figures are the worst since Prime Minister Shinzo Abe put his growth drive fully into action in 2013 and will ramp up pressure on him as the economy struggles to gain traction.
Tokyo’s Nikkei index plunged 3.6 percent in the afternoon, with a stronger yen also hitting exporters.
There were sharp losses across Asia, with Hong Kong down 1.3 percent by lunch, Shanghai losing 1.4 percent and Sydney 1.6 percent lower. Seoul, Singapore and Wellington were also heavily sold off.
After a painful sell-off in January and February, world markets enjoyed a healthy rally in March as central banks from Asia to the Americas loosened the monetary belt to make borrowing easier. With AFP