REUTERS

PHILIPPINE SHARES sank to an over five-month low again on Thursday as concerns over quickening inflation, slowing growth, and a weak peso due to the prolonged Middle East conflict weighed on sentiment.

The Philippine Stock Exchange index (PSEi) fell by 1.25% or 74.25 points to close at 5,833.64, while the broader all shares index dropped by 0.7% or 23.4 points to 3,320.20.

This was the PSEi’s lowest finish in over five months or since it closed at 5,813.71 on Nov. 19, 2025.

“The Philippine market closed lower as investors stayed cautious following the BSP’s (Bangko Sentral ng Pilipinas) projection that inflation for April could reach as high as 6.4%. Sentiment was further weighed down by concerns over the persistent depreciation of the local currency in recent sessions,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message. “Risk appetite remained subdued as traders assessed the implications of elevated inflation and its potential impact on monetary policy.”

Philippine inflation likely quickened in April and settled between 5.6% and 6.4% due to soaring prices of fuel, electricity and food, as well as a weak peso, the BSP said. This would be faster than the 1.4% clip in the same month a year ago and the 4.1% in March.

On Thursday, the peso closed at P61.485 a dollar, climbing by 8.2 centavos from its record-low finish of P60.567 on Wednesday.

“The local market ended the shortened trading week on a negative tone as investors digested the following: the Federal Reserve’s uncertain policy outlook as members are divided; the surge in global oil prices as the US prepares for an extended blockade of the Strait of Hormuz; the peso’s weakness; and DEPDev (Department of Economy, Planning, and Development) Secretary Arsenio M. Balisacan’s statement saying that the local economy is unlikely to reach the target this year,” Philstocks Financial, Inc. Research Manager Japhet Louis O. Tantiangco said in a Viber message.

All sectoral indices closed in the red. Mining and oil slid by 2.83% or 508.69 points to 17,462.36; property sank by 1.38% or 26.90 points to 1,913.46; holding firms dropped by 1.11% or 50.49 points to 4,474.65; financials fell by 1.07% or 19.52 points to 1,799.73; services retreated by 0.99% or 27.65 points to 2,754.94; and industrials went down by 0.84% or 74.61 points to 8,756.42.

Decliners outnumbered advancers, 113 to 74, while 58 names were unchanged.

“All sectors were down for the day with the miners suffering most losses. There were only nine index gainers for the day, led by Aboitiz Equity Ventures, Inc. up 2.65% to P29.10 as it nearly doubled its bottom line in the first quarter. Semirara Mining and Power Corp. was the main index laggard, falling 4.94% to P26,” Mr. Tantiangco said.

Value turnover edged down to P7.65 billion on Thursday with 943.12 million shares traded from the P7.72 billion with 1.34 billion issues on Wednesday.

Net foreign selling was at P538 million, a reversal of the P279.59 million in net buying in the previous session. — Alexandria Grace C. Magno

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