Philippine stocks declined Tuesday ahead of the Chinese New Year celebration after the US markets closed mixed on sell-off of tech stocks.
The bellwether Philippine Stock Exchange Index lost 43.41 points, or 0.70 percent, to close at 6,153.47.
The wider all-shares index also went down by 16.33 points, or 0.4 percent, to setle at 3,632.52.
Financial markets will be closed Wednesday for the Chinese New Year. Philstocks Financial Inc. research head Japhet Tantiangco said investors maintained a cautious stance, while waiting for catalysts.
“Investors are still looking forward to the Philippines’ 2024 GDP data as well as the Federal Reserve’s policy meeting,” Tantiangco said.
Trading remained tepid, with net value turnover at P4.11 billion. Foreigners were net buyers for the day, after 15 straight days of net selling.
Net inflows amounted to P199.32 million.
The banks led the sectors, advancing 1.55 percent. The services sector declined 3.66 percent.
Losers edged gainers, 112 to 66. Monde Nissin Corp. emerged as the top index gainer, climbing 2.64 percent to P6.99. Wilcon Depot Inc. was at the bottom, plunging 8.10 percent to P8.40.
Meanwhile, Japanese tech firms sank Tuesday following a rout on Wall Street after China’s DeepSeek chatbot upended the artificial intelligence sector and sparked questions about huge investments by US titans.
The dollar rallied on a report saying Washington was considering universal tariffs on a range of goods, fanning fresh fears about a trade war.
Other Asian equity indices ended mixed in limited trade ahead of the Lunar New Year break.
European stock markets rose in morning deals and oil prices advanced, as traders awaited interest-rate decisions from the US Federal Reserve and European Central Bank due this week.
Tokyo-listed companies linked to the artificial intelligence sector tanked for a second straight day as investors tracked a rout on Wall Street that saw Nvidia crumble 17 percent, wiping more than half-a-trillion dollars off its market capitalization.
The retreat came after DeepSeek unveiled its R1 chatbot, which has apparently shown the ability to match the capacity of US AI pace-setters for a fraction of the investments made by American companies.
“The DeepSeek news has triggered a rethink on the AI revolution and arguably one of the pillars of the current US exceptionalism,” said Rodrigo Catril, foreign exchange strategist at National Australia Bank. With AFP
