Philippine stocks tumbled on Thursday, dragging the benchmark Philippine Stock Exchange Index (PSEi) to its lowest level in five months amid a confluence of domestic and global headwinds.
The PSEi shed 1.26 percent, or 74.25 points, to close at 5,833.64 — its weakest finish since November 19, 2025. Despite the drop, chief economist Michael Ricafort of Rizal Commercial Banking Corp. noted that the index remained above the intraday low of 5,816.82 recorded on March 23, which was the lowest since the start of the Middle East war on Feb. 28.
Investor sentiment was weighed down by uncertainty over the U.S. Federal Reserve's policy direction, as officials remain divided on the outlook for interest rates. The surge in global oil prices, fueled by concerns over a potential extended blockade of the Strait of Hormuz, further dampened risk appetite.
Locally, the peso's weakness and worries about slower economic growth added to the cautious tone. This came after Socioeconomic Planning Secretary Arsenio Balisacan warned that the Philippine economy might fall short of this year's growth target.
Luis Limlingan, head of sales at Regina Capital Development Corp., said traders remained risk-averse as they assessed elevated inflation and its potential impact on monetary policy.
Trading activity was moderate, with net value turnover at P6.65 billion. Foreign investors were net sellers, with outflows reaching P538 million, reflecting continued risk aversion. All sectoral indices ended lower, with mining and oil leading losses, down 2.83 percent.