Index retreats on weak export performance

MANILA, Philippines — The stock market’s recovery proved to be temporary as concerns about the weak export data sent many investors scrambling for cover.

The benchmark Philippine Stock Exchange index (PSEi) lost 62.57 points, or 0.80 percent, to finish at 7,740.74 while the broader All Shares index declined 33.76 points, or 0.71 percent, to finish at 4,690.10.

Most sectors ended in negative territory except for the services sector which gained 0.21 percent.

Traders said the weak export data affected market sentiment.

Total value turnover was thin at P5.279 billion. Market breadth was negative, 116 to 83, while 41 issues were left unchanged. Net foreign selling was P671.65 million.

Exports fell for a fourth consecutive month in April, dragged by a decline in non-electronic manufactured products such as wood manufactures, machinery and transport equipment, chemicals, processed food & beverages, and furniture and fixtures and agro-based products.

The decline was tempered by a 5.5 percent expansion in export of electronic products, which accounted for 69.1 percent of total export for the month.

This resulted in a wider trade gap at $3.62 billion in April, higher than the $1.55 billion deficit in the same month last year.