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Philippine shares drop on higher rates forecast

Philippine shares drop on higher rates forecast

Philippine shares dropped Monday, dragged down by property and banking stocks, on expectation of rising interest rates.
The benchmark 30-company Philippine Stock Exchange Index shed 47.65 points, or 1.4 percent, at 3,270.73, extending Friday's 1 percent fall.
Property and banking stocks led the decline on forecasts that interest rates will rise after the central bank expanded access to its higher-yielding instruments in a bid to curb brisk money supply growth, traders said.
Investors also were selling ahead of May 14 congressional and local elections, said Accord Capital Equities analyst Lawrence de Leon.
Ayala Land Inc. lost 4.1 percent at 17.50 pesos, while Bank of the Philippine Islands was lower by 1.5 percent at 64.50 pesos.
Decliners led advancers 68 to 35, while 56 stocks were unchanged.
Markets will be closed on Labor Day Tuesday.
The peso fell against the U.S. dollar Monday, closing at 47.61 from Friday's close of 47.46 due to month-end corporate dollar demands, traders said.


Updated : 2021-02-28 18:42 GMT+08:00