February 22, 2013

Stocks end lower


After series of stocks increase these past days, the Philippine Stock Exhange index fell ended up falling down on Friday. this is because of the the prospective withdrawal of the liquidity-boosting bond buyback activities of the US federal Reserve.

Shed 2.35 points or 0.04 percent to close 6,665.06, The main-share Philippine Stock Exchange index fell to asl low as  6,565.26 for the day but gained back most of its losses before the day ends.

On Friday, the index closed in negative territory for the first time in five trading days due to jitters over the US Fed’s prospective moves. There were 94 decliners that overwhelmed 68 advancers while 48 stocks were unchanged.

“This was a delayed reaction to a US correction yesterday (Wednesday in Wall Street) on the possible removal of (US Fed’s) QE (quantitative easing) injection,” said Jose Mari Lacson, head of research at Campos Lanuza & Co.

“I think it’s a combination of several factors, the worst of which is the concern that the US Fed may stop or reduce their stimulus measures earlier than announced. There seems to be a bias toward tightening, or at least a pause in stimulus programs in the major economies,” said Manny Lisbona, deputy chief at PNB Securities.

Source: http://business.inquirer.net/109035/stocks-end-lower-5