The PSEi plunged to the 7,100 level as investors cashed out amid uncertainties due to the upcoming US elections and fears of higher Philippine inflation.
The main index fell 137.28 points or 1.89 percent to close at 7,142.96 as Banks led the retreat although the Property and Mining counters were in the green.
Volume was steady at 803 million shares worth P5.43 billion as gainers actually outnumbered losers 97 to 88 with 56 unchanged.
“Philippine shares ended the last trading session in the red as investors absorbed a wave of earnings reports and awaited additional results other companies,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
He noted that, the U.S. economy grew at an annualized rate of 2.8 percent in the third quarter, below the 3.1 percent expected by Dow Jones.
“Meanwhile, Philippine shares fell after trading in the green yesterday as caution lingered among investors ahead of next week’s U.S. presidential elections,” Limlingan added.
Philstocks Financial Research Manager Japhet Tantiangco said "The local market declined this Thursday as investors took a cautious stance ahead of the long weekend."
"The Peso’s weakness and the negative spillovers from Wall Street also weighed on today’s trading. Investors also braced for the US’ September PCE price index which could provide clues on the Fed’s policy outlook, and the upcoming US elections," he added.