MANILA, Philippines (Xinhua) - The Philippine stock market closed lower today even after the government reported a better-than- expected gross domestic product (GDP) growth in the second quarter.
The bellwether Philippine Stock Exchange index retreated by 0. 83 percent, or 59.76 points, to 7,100.7, while the broader all- share index lost 0.62 percent, or 26.14 points, to 4,205.66.
Trading volume reached 1.37 billion shares worth P10.42 billion ($238.69 million) with 111 stocks declining, 71 advancing, and 47 unchanged.
Of the six counters, only the mining and oil sector bucked the trend.
Analyst Justino Calaycay of Accord Capital Equities Corp. said the 6.4 percent GDP growth in the second quarter, although better than the previous quarter, was lower than last year.
"This does not diminish the value of the result however. We think that the market's reaction may only be temporary particularly in light of an extended advance since the Chinese Ghost month," Calaycay said.
He said that as soon as investors are able to dissect the GDP data, confidence that the local economy is nearly back on track will provide the impetus for the local equities to head further north.
PSA said economic growth in the April to June period was faster than the 5.6 percent recorded in the first quarter. GDP growth in the second quarter, however, was slower than the 7.9 percent recorded in the same period last year.
Stocks in the 30-company index closed mixed. Among those sold down were heavyweight Philippine Long Distance Telephone Co., Ayala Land, Inc., and SM Investments Corp.