Local stocks fall for 2nd straight day

By Maiki Oreta, ABS-CBN News

Posted at Jan 19 2011 01:12 PM | Updated as of Jan 19 2011 09:12 PM

MANILA, Philippines – Local stocks declined for the second straight day on Wednesday, bucking the rise in other Asian markets, as another wave of foreign selling set in.

Traders said concerns over accelerating domestic inflation weighed on investor sentiment.

By the end of the session, the key Philippine Stock Exchange index fell 0.8% or 33.03 points to 4,039.56, while the broader all-share index went down 0.5% or 16.54 points to 3,011.60.

The market’s decline was broad-based as only the services sector finished in positive territory.

Losers outnumbered gainers, 94 to 54, while 37 issues were unchanged.

Value turnover increased slightly to P5.5 billion.

SM Investments was the most actively traded stock by value. It recovered from its 2-session, with a gain of 0.8% to P502.

Second most active was Aboitiz Power, which lost 5% to P28.30, followed by Alliance Global, which dropped 5.7% to P11.12.

Meanwhile, Meralco was also actively traded today. Its shares were down by as much as 5.2% intraday but they managed to rebound and close higher by 3% to P274 each. The electricity distributor plans to spend $150 million to construct its own combined-cycle power plant with a 150-megawatt capacity in Laguna.