Regional stocks, including local shares, fell as investors were spooked by fears of a recession in the US.
The main index dropped 88.53 points or 1.32 percent to close at 6,605.30 led by the Services sector which weakened despite the hike in Globe’s stock price. Volume remained tepid at 514 million shares worth P4.82 billion as losers swamped gainers 112 to 59 with 53 unchanged.
“Philippines shares tumbled along with the rest of the region on growing fears of a potential recession,” said Regina Capital Development Corporation Managing Director Luis Limlingan.
Philstocks Assistant Research Manager Claire Alviar said that, "Along with our Asian peers, the local bourse slid following the negative cues from Wall Street amid recession fears in the US.
"Given some dismal economic data in the US, investors were worried that the Federal Reserve might now be late in easing monetary policy, potentially leading to recession."
"Back at home, the Philippines’ S&P Global Manufacturing PMI in July still registered an expansion at 51.2; however, it was slightly lower than the prior month’s 51.3," she noted.