Local share prices dropped in afternoon trading as investors turn cautious amid global uncertainties after rising in the morning session due to the rate cut.
The main index lost 36.67 points or 0.49 percent to settle at 7,400.33 as Conglomerates led the retreat while Banks managed to advance. Volume declined to 938 million shares worth P5.91 billion as losers outpaced gainers 102 to 92 with 64 unchanged.
“Philippine shares fell despite the BSP's rate cut as investor concerns over global economic risks weighed on local market sentiment,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
Meanwhile, U.S. stocks surged to a record close on Wednesday, rebounding from the prior session's sell-off.
The earnings season is off to a solid start, with nearly 50 S&P 500 companies reporting thus far, and 79 percent exceeding estimates, according to FactSet.
Philstocks Financial Research Manager Japhet Tantiangco said that, "Last minute profit taking brought the local market down this Thursday. Contributing to the market’s decline is the lingering weakness of the local currency. "
"Foreign investors which were net sellers for the day added to the market’s drop. Net foreign outflows amounted to P47.87 million," he added.