PSEi slips below 7,500 support area, as peso breaches P54:$1

Share prices on the Philippine Stock Exchange lost for the sixth straight session on Wednesday, as the peso finally broke the P54:$1 and foreign funds continued to sell stock positions.

The benchmark PSEi dropped 68.81 points or 0.92 percent to close at 7,449.20. The broader All Shares lost 20.12 points or 0.44 percent at 4,577.16.

The peso’s depreciation remains a concern, prompting foreign funds to sell their stocks, Asiasec Equities Inc. chief equity strategist Manny Cruz said.

The peso has been flirting with the P54:$1 level weighed by concerns about the US-China trade war and the Philippines’ burgeoning trade deficit and nine-year high inflation. It finally broke through at P54.13 on Wednesday.

“This fueled further foreign selling. The foreign selling has been relentless amid the peso’s depreciation,” Cruz said.

Foreign funds bought P2.146 billion of shares and sold P3.033 billion for a net selling position of P886.620 million.

More than 1.169 billion shares valued at P5.667 billion, changed hands. Decliners led advancers, 101 to 83, and 56 issues were unchanged. —VDS, GMA News