Philippine shares joined the sell-off in Asian markets on Monday sparked by worries over the escalating turmoil in Turkey.
The PSE index plunged 2.17 percent settling at the 7,635.
The day’s biggest losers included Meralco, SM Prime Holdings, Ayala Corp and Ayala Land.
These mirrored losses in other Asian stocks as investors worried the financial market fallout from Turkey’s worsening relations with the United States would spread to other emerging markets.
But Raul Ruiz, head of research at RCBC Securities, said instead of external risks, he was more concerned with the lower-than-expected gross domestic product growth in the second quarter and the 50 basis point rate hike by the central bank.
“The rate hike may further weigh on GDP down the road. The market support is still intact, but I would give it more time, Ruiz told ANC.
The peso also weakened to P53.37 to the dollar from Friday’s close of 53.135.