PSEi plunges, mirrors global markets

Tracking the global sell off in equities markets, Philippine share prices on Friday plunged, closing the trading week in the red. The bellwether 30-company Philippine Stock Exchange index fell 63.64 points or about 1.45 percent to 4,339.90 while the all shares dropped 40.60 points or 1.33 percent to 3,017.44. Selling was broad-based as 115 losers dominated 44 gainers and 26 stocks that closed unchanged. All six subindices retreated with the Property sector suffering the worst with a P1.89-percent slide. Volume traded reached 3.70 billion shares valued at about P4.62 billion. Despite a pledge from the US Federal Reserve to keep interest rates at historic low for an extended period and efforts of European leaders to contain a debt crisis, recession fears continued to hobble global markets. "Local investors dumped equities, sending the index briefly under the support line, before some stability entered to cushion the sell-off. It was nonetheless a negative breadth session with the PSE index drawing a similar story read across the Asia Pacific region," said trader Justino Calaycay Jr. of Accord Capital Equities. Overnight, the Dow Jones plunged 3.68 percent, while Nasdaq slumped 5.22 percent. As of mid-trade Friday, all Asian markets were also bearish, with South Korea's main index declining nearly 5 percent. In the local bourse, four of the most active stocks for the day closed in the red. Lepanto Consolidated Mining Co. "A", the day's top traded, was flat at P1.50, while its "B" shares slid P0.02 or 1.23 percent to P1.60. Metropolitan Bank & Trust Co. lost P2.20 or 2.89 percent at P73.80. Telecommunications giant Philippine Long Distance Telephone Co. shed P14 or 0.60 percent at P2,332. Alternative power producer Energy Development Corp. slipped P0.16 or 2.68 percent to P5.80. -CMA/OMG, GMA News