Stocks dip after Fed, BSP rate hikes

The local stock market dipped after the Federal Reserve and Bangko Sentral each raised their policy rates by 25 basis points as expected.
The main index shed 9.91 points or 0.15 percent to close at 6,536.36 as the Services sector led tge decline although the Mining and Oil counter managed to advance. Volume dropped further to 428 million shares worth P3.69 billion.
“Philippine shares slid slightly, as the Fed concluded its two-day meeting yesterday. The Fed raised rates by 25bps, in line with the Street's expectations,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He added that, “It also hinted that its inflation-fighting tightening campaign could be nearing the end, with the removal of the phrase ‘ongoing increases’ from its statement.”
Philstocks Financial Research and Engagement Officer Mikhail Plopenio said “The local bourse inched down this Thursday, driven by negative spillovers from Wall Street overnight following the 25 bps rate increase and the statement of the Federal Reserve. Moreover, investors also waited for the decision of the Bangko Sentral ng Pilipinas.”
He noted that, “The local market traded in the red territory for the whole session. Losses were tempered at the last minute ahead of the Bangko Sentral ng Pilipinas’ policy decision.”