PHL shares plunge at open in Typhoon Yolanda's aftermath

Share prices on the Philippine Stock Exchange plunged in early trading as investors used the calamity-stricken Central Philippines in the aftermath of Typhoon Yolanda an inconvenient excuse to take a risk-off stance. 

 

The benchmark PSEi shed 2.07 percent or 131.30 points to 6,223.88 as of 10:48. 

 

Broader all-shares index retreated 1.81 percent to 3,806.77. All sub-indices were down. 

 

"The region is a mixed bag. Investors are using the disruptions caused by the typhoon to take some risk-off from local markets," Juan Rafael Supangco, research head at Angping & Associates Securities Inc., said. 

 

On Friday, Typhoon Yolanda, one of the strongest typhoons in recorded history, barreled through Central Philippines with sustained winds of up to 313 kilometer per hour and gusts of up to 378 kph that caused a deadly storm surge.  

 

Local officials on the ground estimated at least 10,000 people may have died in Tacloban alone, although reports damage to life remain sketchy in the chaos that ensued.   

 

Gregg Adrian Ilag, analyst at AB Capital Securities Inc., said in his market commentary over the weekend that eyes were also on domestic developments, particularly corporate earnings. 

 

"Investors will likely focus on third quarter results of local companies, given that there are only a few economic data to be reported in the US," he said. 

 

On Friday, the PSEi ended on a sour note, closing 230 points lower week-on-week to 6,355.18 after corporate results failed to beat expectations and fears of the US Federal Reserve tapering bond purchases resurfaced. – VS, GMA News