The local stock market ended the week with more losses as investors grow more concerned about a potentially more dangerous variant of COVID-19.
The main index dropped 90.83 points or 1.23 percent to close at 7,278.44 as the Property and Services sectors led all sub-indices in the retreat.
Volume was higher at 1.04 billion shares worth P9.97 billion as losers were double the number of gainers at 135 to 66 while 43 remained steady.
“Shares in the Philippines and across the region fell as renewed fears of the new covid variant which will be called 'nu' if it's deemed a 'variant of concern' by the WHO special meeting,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that, “lack of leads from the US due to the Thanksgiving holiday gave little incentive for the market to be bought up. U.S. stock futures were trending lower down by more than 400pts, despite easing long term bond yields.”
The drop comes after minutes from the Federal Reserve suggest the need to adjust asset purchases and increase the target range for federal funds to counter rising inflation.
Philstocks Financial Senior Supervisor for Research Japhet Tantiangco said “The local bourse joined its regional peers in the red territory this Friday as COVID-19 worries resurface. This comes amid growing concerns over a new variant, B.1.1.529, in South Africa which is seen to have a high number of mutations.”