PSEi sinks below 6,000

The local stock market tumbled below the 6,000 mark on Friday as investors reacted to the country’s latest economic data.

The Philippine Stock Exchange index (PSEi) plunged 4.01 percent to close at 5,862.59, while the broader All Shares index declined by 2.19 percent to 3,520.32.

The market downturn followed reports that the Philippine economy expanded by 5.6 percent in 2024, missing the government’s 6 to 6.5-percent growth target. The Philippine Statistics Authority (PSA) said the economy slowed in the fourth quarter, growing by 5.2 percent compared to 5.5 percent in the same period in 2023.

Among the sectoral indices, only Financials managed to post gains, rising 1.05 percent to 2,173 points. Meanwhile, Mining and Oil suffered the steepest loss, plunging 6.57 percent, followed by Industrial, which shed 5.4 percent. The Property sector dropped 3.74 percent, Holding Firms fell 3.64 percent, and Services dipped 1.17 percent.

Investors remained cautious as they digested the latest economic figures, particularly the slowdown in household spending and contraction in the agriculture sector, which contributed to the lower-than-expected growth rate.