The stock market fell Thursday after investors cashed in on early window-dressing gains in the previous day.
The Philippine Stock Exchange Index slipped 42.94 points, or 0.5 percent, to 7,977.12 on a value turnover of P7.8 billion. Losers beat gainers, 100 to 78, with 61 issues unchanged.
Bank of the Philippine Islands, the third-biggest lender in terms of assets, declined 2.9 percent to P97, while sister unit Ayala Land Inc. lost 2 percent to P48.55.
International Container Terminal Services Inc., the largest port operator, dropped 2.8 percent to P118.70, but Aboitiz Power Corp. rose 3 percent to P39.95.
Most Asian markets, meanwhile, were mixed Thursday after the Federal Reserve cut interest rates again and data showed the US economy remained “resilient,” though gains were tempered by the bank’s indication it is unlikely to make any more reductions.
Asian investors struggled to ride the coat-tails of their US counterparts.
Hong Kong rallied 0.7 percent but traders there were nervously awaiting the release of economic growth data that is expected to show the city fell into recession as a result of months of sometimes violent protests that have hammered the retail and tourist sectors.
Tokyo finished 0.4 percent higher with little reaction to the Bank of Japan keeping monetary policy unchanged but hinting at possible future rate cuts in the future.
Singapore was up 0.7 percent, while Mumbai and Bangkok were also on the rise.
Seoul added 0.2 percent, but market heavyweight Samsung was flat after is reported third-quarter net profit had more than halved.
Shanghai ended down 0.4 percent after figures pointed to another contraction of China’s crucial manufacturing industry owing to the US trade war.
There were also losses in Sydney, Wellington and Jakarta.
The dollar struggled to recover from the widely expected move, with the broadly upbeat mood providing support to higher-yielding, riskier currencies, while the pound was also helped by receding Brexit worries.
After announcing the third cut this year, Fed chief Jerome Powell said that while the US-China trade row and Brexit uncertainty had hit investment, the economy had been “resilient to the winds that have been blowing this year.”
His comments came after data showed growth dipped marginally in the third quarter to 1.9 percent but was much better than the 1.6 percent forecast. A reading on private-sector jobs also showed a better-than-expected rise.
Powell said: “We took this step to help keep the US economy strong in the face of global developments and to provide some insurance against ongoing risks.”
The bank’s statement indicated policy board members would not unveil another cut next month, and Powell added that it would only do so “if developments emerge that cause a material reassessment of our outlook.”
Investors cheered the news, with the S&P 500 on Wall Street rallying to its second record close in three days, while the Dow and Nasdaq also rose as investors are also buoyed by progress in the China-US trade talks and strong earnings. With AFP