Philippine stock index falls 1% to 6,216.78

Philippine stock index falls 1% to 6,216.78

The Philippine Stock Exchange (PSE) Index fell by 1% to 6,216.78 on July 2, 2025, reflecting broader market volatility. The decline comes amidst global economic uncertainties and fluctuations in cryptocurrency prices. The PSE Index, which includes the largest companies listed on the exchange, has been sensitive to international market movements, particularly in the technology and finance sectors.

The recent drop in the PSE Index can be attributed to several factors. Firstly, the global cryptocurrency market has been volatile, with Bitcoin and other cryptocurrencies experiencing significant price fluctuations. For instance, Bitcoin's price dropped from $117,000 to $111,500 over the weekend, causing concern among investors [1]. This volatility has a spillover effect on the broader market, including the Philippine stock market.

Additionally, the Philippine market has been influenced by the ongoing IPO lock-in expirations. From August 25 to November 27, 2025, 57 companies are expected to unlock shares valued at USD 20 billion [2]. While not all shares will be sold, the potential for a large number of shares to be released onto the market could lead to increased liquidity and potential price fluctuations.

Investors should remain vigilant as the Philippine stock market continues to navigate these challenges. Experts advise a balanced approach, considering both the short-term volatility and the long-term potential of the market. As the Philippine economy recovers from the pandemic, the stock market is expected to experience further growth, driven by increased consumer spending and investment in infrastructure.

References:
[1] https://finance.yahoo.com/news/xrp-lawyer-predicts-40-surge-162758314.html
[2] https://www.livemint.com/market/ipo/ipo-lock-in-of-57-companies-to-expire-in-3-months-20-billion-shares-to-flood-stock-market/amp-11756112289663.html