MANILA-- Net foreign selling in the Philippines' equities market resulted in its third straight loss for the year on Friday and the peso's weakness against the US dollar.
The Philippine Stock Exchange index (PSEi) shed 0.36 percent, or 26.03 points, to 7,238.52 points.
A trader said there was net foreign selling in the PSE Friday, the first time in weeks, due to profit-taking.
"There was a big run-up since before 2016 ended and this was taken advantage of by investors to take profit," the trader said.
PSE data show that net foreign selling Friday amounted to Php 340.4 million.
Thus, most of the indices ended the week on the red, with the All Shares down 0.44 percent, or 19.15 points, to 4,360.83 points.
Mining and Oil posted the biggest decline with 2.76 percent followed by Property, 0.76 percent; Services, 0.55 percent; Financials, 0.37 percent; and Holding Firms, 0.03 percent.
On the other hand, Industrial rose 0.05 percent.
Volume of trade involved 1.43 billion shares amounting to Php 5.4 billion.
Decliners led advancers at 114 to 67 while 55 stocks were unchanged.
The local currency shed Php 0.16 and ended the week at 49.64 from 49.48 Thursday.
A trader traced this to the impact of the PSEi's finish but pointed out that this was in line with regional currencies.
The trader said there was a weak dollar at the start of the day, which was partly due to markets' disappointment after the press conference of US president-elect Donald Trump, who did not elaborate on his administration's policies.
This, however, did not prop up the local currency that much after it opened the trade at 49.60 from the 49.54 in the previous session.
The currency pair traded between 49.66 and 49.57 bringing the day's average to 49.62.
Volume of trade was lower at USD411.1 million from the USD588.70 in the previous session.
The currency pair is seen to trade between 49.40 and 49.50 next week.
The trader said the peso remained firm since expectations for the next hike in the Federal Reserve rates had eased, with first increase this year projected to happen by June.
The trader said investors remained optimistic on the sustained growth of the US economy.
Although there were some concerns on the impact of Trump's policies on the world's largest economy any negative impact might likely be seen by end-2017 or early 2017, the trader added. (PNA)
Source: Philippines News Agency