PSEi down on worries over reimplementation of strict lockdown

Philippine shares ended on a weak note Tuesday as concerns over the rising COVID-29 cases in the country would trigger the reimplementation of stricter lockdown which might put the economy to another halt.

The bellwether PSEi shed 61.01 points or 0.96% to 6,267.40 at the closing bell. The broader All Shares lost 24.34 points or 0.66% to 3,667.83.

“The PSEi continues to move in the opposite direction of most global markets as investors weigh the possibility of the reimplementation of stricter lockdown restrictions as new COVID-19 cases surge,” AAA Equites head of research Chris Mangun said.

The number of COVID-19 infections in the Philippines reached over 46,000 after recording 2,099 fresh and late cases on July 6.

University of the Philippines professors earlier warned that COVID-19 cases may reach 100,000 by the end of August. 

Foreigners, meanwhile, are net sellers at P2.507 billion as they pulled out P5.091 billion worth of shares against P2.584 billion worth of positions bought.

“A pick up in foreign outflows also dampened the sentiment,” Mangun said.

“We may see the main index move lower and test support at 7,160 in the coming days,” he said.

More than 1.475 billion shares valued at P7.594 billion, changed hands. Advancers led decliners, 99 to 96, and 47 issues were unchanged. — BM, GMA News