Philippines share prices closed 1.1 percent lower on Wednesday, with the key index hitting its lowest level in five weeks on inflation fears, dealers said.Another record surge in international crude oil prices was to blame for those fears, which also came amid surging prices of food worldwide, they said.
The composite index finished down 30.94 points at 2,824.81, its lowest closing since March 17 when it settled at 2,793.89. It moved between 2,817.59 and 2,856.90.
The broader all-share index dropped 13.75 points or 0.8 percent to 1,747.96. There were 52 decliners and 30 gainers while 69 stocks ended unchanged.
Trading was lean with turnover of 445.2 million shares worth 1.7 billion pesos (41.4 million dollars)."With oil prices at record highs, investors could not focus on individual stocks and corporate earnings," said Rommel Macapagal of Westlink Global Equities.
Oil prices held above 118 dollars a barrel in morning trade Wednesday due to a weak dollar. Oil rose to an all-time high of 119.90 dollars a barrel before settling at a record 119.37 dollars on the New York Mercantile Exchange Tuesday.
Index leader Philippine Long Distance Telephone Co shed 0.4 percent to 2,610 pesos. Conglomerate Ayala Corp lost 2.3 percent to 322.50 pesos.Food and beverage conglomerate's San Miguel Corp's A shares, restricted to local investors, were steady at 44 pesos. Its B shares, without ownership restrictions, closed flat at 46 pesos.