PHILIPPINE shares finished at 6,532.30 on Thursday, down 103.56 points, or 1.56 percent, despite better-than-expected gross domestic product (GDP) and ahead of the release of the US inflation data.

Broader all shares index fell by 1.15 percent, or 40.76 points, to 3,517.21.

“Philippine shares plunged despite the better-than-expected GDP, as sentiment was dragged by hotter-than-expected US inflation data,” Luis Limlingan, managing director of Regina Capital Development Corp., said.

“To kick off 2022, the country showed no signs of slowing down, beating most analysts’ forecasts and well ahead of the Bloomberg median consensus of 6.8 percent. Inflation has been much more manageable and the BSP (Bangko Sentral ng Pilipinas) has had more room to operate the timing of raising its rates, unlike the Fed,” he added.

Likewise, Philstocks Financial Inc. senior research analyst Japhet Tantiangco attributed the decline to “negative spillovers from Wall Street.”

“The US inflation staying near its highs triggered concerns that the Federal Reserve may pursue more aggressive monetary tightening policies in their upcoming meetings,” he said.

Foreign transactions posted a net outflow of P1.28 billion adding fuel to the decline.

Meanwhile, local trading was quite strong as net value turnover ended at P7.02 billion, above the year-to-date average of P6.67 billion.

Decliners outnumbered advancers, 128 against 70, while 48 names remained unchanged.

All sectoral indices closed in the red on Thursday. Services dipped by 19 points, or 1.01 percent, to 1,868.50, while property contracted by 81.31 points, or 2.75 percent, to 2,879.29.

The industrial index also decreased by 124.81 points, or 1.36 percent, to 9,079.37; and financials increased by 36.72 points, or 2.28 percent, to 1,574.69. Holding firms went up by 20.36 points, or by 0.33 percent, to 6,118.99, while mining and oil inched up by 26.34 points, or 0.24 percent, to end at 10,973.05.

Alliance Global Group Inc. was the top index gainer, climbing 2.50 percent to P11.48. On the other hand, Puregold Price Club Inc. was the main index laggard, plunging 5.59 percent to P32.10.