Index slumps as market consolidates

MANILA, Philippines - Philippine stocks slumped for the second straight day yesterday as the market prepares to consolidate after breaking out over the past week.

The bellwether Philippine Stock Exchange index plunged 0.70 percent or 49.81 points to 7,050.89. The broader all-share index slipped by 35.65 percent or 0.85 points to 4,170.01.

“It seems like we’re paved for consolidation give the succeeding days of run-up,” said Astro del Castillo.

Castillo said the market has dried-up after successive 14-month highs and breaching the 7,100-level this week.

“It’s best for the market to rest, to really consolidate first. There’s nothing wrong with a healthy consolidation,” Castillo said.

Trading volume reached P32.55 billion with 67 stocks advancing, 111 declining, and 44 unchanged.

Counters were mixed, with mining and oil firms leading gainers with an increase of 0.62 percent while holding firms topped the losers with a 1.60 percent drop.

Asian markets declined on fresh concerns over Ukraine and some weak data, with the Philippines becoming the worst performer during the day in the entire Southeast Asia.

US stocks fell also overnight with the S&P500 dropping below 2,000 as the crisis in Ukraine and less-than-expected retail earnings deflated optimism of investors.