Philippines shares slumped to a six-week low on Tuesday following a sharp drop in Philippine Long Distance Telephone Co's (PLDT) shares in New York and worries over delays in the vote count after the May 10 elections.
Despite a broader recovery in regional markets, a 6.05 percent drop in PLDT's American Depository Receipts on Monday outweighed bargain-hunting interest.
"PLDT represents the Philippines in New York. It's the only active Philippine stock in that market.
Considering its size, it greatly influences how the local market behaves," said Astro del Castillo, managing director of First Grade Holdings Inc.
PLDT, the country's second-biggest stock with a market capitalisation of $3 billion, fell 3.0 percent or 30 pesos in the local market on Tuesday to 970 pesos ($17.4), also a six-week low. It accounted for about a third of the total market turnover.
The Philippine stock index slid 10.91 points or 0.73 percent to end at 1,476.08. Traders said the index would likely test major support at 1,450 in the coming sessions.
But trickles of bargain hunting towards the close of trading was a sign that some buying support may already be coming in, analysts said.
Turnover increased to 600.5 million pesos against Monday's 496.67 million pesos.
Power holding firm First Philippine Holdings Corp gained 1.89 percent or 50 centavos to 27 pesos. Local newspapers reported that the company said it expected 10 percent growth in annual profits this year, driven by improved revenues from its power plant subsidiaries.
First Holdings posted a net income of 3.8 billion pesos in 2003. It reported a 47 percent jump in first-quarter profits to 874.4 million pesos.
Fastfood firm Jollibee Foods Corp rose 1.28 percent or 25 centavos to 19.75 pesos after it reported a 41.6 percent surge in first quarter net income to 382.13 million pesos.