Stocks decline on China’s sluggish growth

Local stocks fell for a second day on worries about China’s sluggish economic growth.

The 30-company Philippine Stock Exchange index slipped 21.96 points, or 0.34 percent, to close at 6,528.80, as bears took over the market in the afternoon trading session.

Philstocks Financial Inc. analyst Claire Alviar said the negative sentiments in China had a “ripple effect” across the regional markets including the Philippines.

Alviar said the 2.8-percent remittances growth in May also did not boost market sentiments as it marked the slowest rate since February’s 2.4 percent.

Rizal Commercial Banking Corp. chief economist Michael Ricafort said the market correction happened amid recent hawkish signals from the Bangko Sentral ng Pilipinas.

BSP Governor Eli Remolona, in a recent interview with Bloomberg Television, hinted about the possibility of further monetary tightening. — Jenniffer B. Austria

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