Stocks fall on expected interest rate hike

Philippine stocks finished lower Wednesday as the Bangko Sentral ng Pilipinas (BSP) hinted of another interest rate hike in November.

The Philippine Stock Exchange index dipped 10.11 points, or 0.16 percent, to close at 6,253.96, while the broader all-shares index inched lost 1.82 points, or 0.05 percent, to settle at 3,384.45.

Regina Capital and Development Corp head of sales Luis Limlingan said the market edged lower ahead of the release of US inflation rate data coupled by the BSP’s statement not ruling out another 25 basis points rate hike next month.

The BSP raised interest rates by a total of 425 basis points to 6.25 percent to rein in inflation before pausing in the last four meetings.