PHP flat, PSEi slides anew ahead of GDP announcement

MANILA- The Philippine peso closed flat Wednesday ahead of Thursday's release of the Philippines' 2016 growth performance while Philippine Stock Exchange index (PSEi) fell anew.

The local unit finished the day at 49.81, which a trader said was expected as all eyes were on the gross domestic product (GDP) report on the economy, both for the last quarter and full year.

The government on Wednesday revised downward the third quarter print to seven percent from 7.1 percent previously, bringing the year-to-date average to 6.9 percent, near the upper end of the government's six to seven percent growth target for last year.

This growth, however, remains one of the highest in the region and most analysts believe that the domestic economy will continue to be robust in the coming years especially with the plan to implement more infrastructure projects.

For the day, the local currency opened at 49.84, little changed from the 49.80 in the previous session.

It traded between 49.87 and 49.77 bringing the day's average to 49.84.

Volume of trade reached USD377.5 million, way lower than day-ago's USD624.9 million, which the trader attributed to investors' decision to stay at the sidelines.

The PSEi, meanwhile, shed 0.64 percent, or 47.29 points, to 7,323.36 points.

It has been sliding for three consecutive days, with Wednesday's decline traced to profit-taking.

"It performed contrary to what happened in the region ahead of the release of the GDP report," the trader said.

All Shares fell 0.47 percent, or 20.57 points, to 4,406.73 points.

Property led the sectors with 0.96 percent decline followed by Services, Holding Firms, Financials, and Industrial, with contractions of 0.96 percent, 0.78 percent, 0.60 percent, 0.30 percent, and 0.22 percent, respectively.

Only the Mining and Oil bucked the trend after it rose 0.47 percent.

Total volume involved 930.1 million shares amounting to Php 5.45 billion.

Gainers led losers at 106 to 79 while 52 shares were unchanged. (PNA)

Source: Philippines News Agency

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