The Philippine Stock Exchange's bellweather fell by more than 200 points on Friday, April 5, from Monday’s level after a four-day losing streak, as investors were spooked by the rising inflation rate and the prospect of a delay in the reduction of interest rates.

The main index dropped 81.6 points or 1.20 percent to close at 6,745.46 led by the plunge of the Property sector although the Services counter held its ground. Volume rose to 2.3 billion shares worth P14.27 billion as losers led gainers 118 to 68 with 47 unchanged.

“Philippine shares continued to drop for its fourth straight day as investors digested the inflation data that came out in the morning,” said Regina Capital Development Corporation Managing Director Luis Limlingan.

He added that, “Overseas, the U.S. market saw the 30-stock Dow decline on its fourth straight day, its worst session since March 2023. The S&P 500 also recorded a substantial slump,  falling by 1.23 percent as oil prices rose and a key Fed official questioning if rates should come down as inflation remains above the Fed's target.”

Philstocks Financial Assistant Research Manager Claire Alviar said “On the last trading day of the week, the local bourse joined the Asian markets in the red as hopes for rate cuts in the US were tempered following comments from Federal Reserve officials on interest rates.“

“Moreover, the sentiment at home was further weighed down by the rising oil prices, which could exacerbate the inflation outlook in the country. Currently, the latest inflation data came in higher than February’s 3.4 percent, although within expectations, the sentiment weighed down by the possibility that the inflation rate may worsen given the rising oil prices and depreciating peso, aside from the anticipated increasing food prices caused by El Nino,” she noted.