The Philippine Stock Exchange Index (PSEi) extended its losing streak to five consecutive sessions on Tuesday, as investors remained cautious over ongoing geopolitical tensions and rising inflation concerns.
The benchmark index dropped 0.58%, or 34.36 points, to close at 5,866.79.
Analysts said sentiment remained fragile amid unresolved US-Iran tensions and expectations of higher inflation and interest rates. The Philippine peso's slide past the 61-per-dollar level added to worries about imported inflation and capital outflows, further dampening market sentiment.
"The weaker currency heightened inflation and policy concerns, prompting investors to reduce risk exposure," said Ron Acoba, chief investment strategist at Trading Edge Consultancy.
Trading volume was heavy, with net value turnover reaching ₱6.92 billion, above the year-to-date average of ₱6.4 billion. Foreign investors were net sellers, recording outflows of ₱878.07 million.
Sectoral performance was mostly negative, with only mining and oil and conglomerates posting marginal gains. Industrials led the decliners, falling 1.32%, while the overall market had just nine gainers.
JG Summit Holdings Inc. was the top index gainer, rising 2.19% to ₱27.95.
Analysts expect continued volatility in the near term due to external uncertainties, currency weakness, and elevated rate expectations.