The Philippine stock market another drop Wednesday, with the main index losing 11.29 points, or 0.18 percent, to end at 6,195.26.
The broader all-shares index also fell 2.79 points, or 0.08 percent, to settle at 3,681.89.
China Bank Corp. managing director Juan Paolo Colet said the market slipped anew on continued concerns about Trump’s erratic trade policy and a potential slowdown in the US economy.
“Based on today’s trading, the arrest of former President Duterte has not had a material effect on our stock market and many large investors do not appear to be particularly perturbed by that issue. Naturally, they will observe how the situation evolves, but their primary focus is on Trump, the Fed and US markets,” Colet said.
Looking at the sectors, the biggest gains came from the property and industrial sectors, edging higher by 1.24 percent and 0.45 percent. Holding firms also went up by 0.07 percent.
Financials, services and mining and oil closed lower by 1.26 percent, 0.64 percent and 0.81 percent, respectively.
Value turnover reached P5.037 billion, with 77 advancers, 127 decliners and 40 unchanged stocks.
Manila Electric Co. climbed 5.05 percent to P509.50, PLDT Inc. went down 4.58 percent to P1,333.
Asian and European equities were mixed Wednesday, as investors fret over President Donald Trump’s ever-changing trade policies amid increasing concern that his tariffs could send the US economy into recession.
Global markets have endured severe volatility this month as the president looks to ramp up pressure on global partners by imposing or threatening hefty duties on their goods, citing huge trade imbalances.
In the latest move, sweeping 25 percent levies on all US aluminum and steel imports came into effect at midnight in Washington (0400 GMT Wednesday), hitting numerous nations from Brazil to South Korea, as well as the European Union.
On Tuesday, Trump threatened to double those on Canada after the province of Ontario imposed an electricity surcharge on three US states. The president called that off after Ontario halted the charge.
The on-off nature of the trade policies has fueled uncertainty in markets, and has sent the VIX “fear index” of volatility to its highest level since August.
Traders appeared largely unmoved by Trump’s attempt to soothe worries over a recession after he warned at the weekend of “a period of transition” and refused to rule out a downturn.
On Tuesday, he said at the White House: “I don’t see it at all. I think this country’s going to boom”, adding that markets “are going to go up and they’re going to go down. But you know what, we have to rebuild our country”.
But Nicole Inui at HSBC wrote in a note: “The back and forth on tariff announcements is playing havoc with consumer and business confidence: policy uncertainty is at a record high, consumer confidence dropped sharply and small business optimism has pared back.
“Consensus GDP forecasts were revised lower for the first time in eight months and market chatter about recession is creeping higher.”
After another selloff in New York that saw the Nasdaq extend Monday’s four percent dive, Asian traders were also in a dour mood, though Europe was a little brighter.
Tokyo edged up with Singapore, Seoul, Jakarta and Taipei.
But Hong Kong, Shanghai, Wellington, Mumbai, Bangkok and Manila were in the red, with Sydney down more than one percent, on concerns about the impact of Trump’s latest tariffs on Australia’s economy.
London, Paris and Frankfurt opened on the front foot.
Also in focus Wednesday is the release of key US consumer inflation data, which the Federal Reserve will keep a close eye on as it tries to determine monetary policy in light of the latest moves by Trump.
There is a fear that the tariffs, and plans to slash taxes, regulation and immigration will fan inflation again, forcing the bank to hold borrowing costs for longer or even hike them.
Meanwhile, analysts said high uncertainty in US markets at the moment was making other regions more attractive as investors look for more stability.
“For years, the US has been the undisputed leader of global markets, fueled by aggressive fiscal spending, tech dominance, and a strong consumer,” said Charu Chanana, chief investment strategist at Saxo markets.
“But cracks are starting to show. Investors are increasingly looking overseas as concerns mount over US stock valuations, monetary policy, and economic uncertainty.”
