The local stock market extended its decline on Tuesday, with the benchmark Philippine Stock Exchange index (PSEi) falling 65.35 points or 1.00 percent to close at 6,459.47.

Investors took profits amid the absence of fresh catalysts, while renewed concerns over global trade tensions and weakening peso added pressure to market sentiment. The planned tariffs by the United States and geopolitical developments weighed heavily on risk appetite.

"Philippine shares weakened as investors responded to the tariff threats from President Donald Trump, as many analyzed whether any measures would likely be softened through negotiations," said Luis Limlingan, head of sales at Regina Capital Development Corporation.

Limlingan added that investors were also monitoring developments on US tariffs involving the EU and Mexico, as well as upcoming key inflation data that could provide insight into the broader economic impact.

All sectors ended in the red, with holding firms dragging the index the most after dropping 1.88 percent.

Trading remained sluggish, with net value turnover reaching only P5.42 billion – below the year-to-date average of P5.81 billion. Foreign investors continued to unload positions, registering net outflows worth P322.36 million.

Despite the market's downturn, advancers slightly edged out decliners, 98 to 96, while 56 issues were unchanged.

Meanwhile, the peso opened at 56.70 and closed at 56.73 against the US dollar, with a weighted average rate of 56.748, based on data from the Bankers Association of the Philippines.