PH shares rebound ahead of rate decision

BANGKOK - Most Southeast Asian stock markets rose in light volume on Wednesday as investors cautiously built positions amid hopes of a Greek debt deal, with Philippine large-caps rebounding a day ahead of the central bank's meeting on interest rates.

The Philippine composite index was up 0.5 percent after a 0.8 percent fall on Tuesday to a near one-week low. Metropolitan Bank and Trust Co., the most actively-traded stock, gained 1 percent.

All 16 economists in a Reuters poll predicted the central bank would leave the overnight borrowing rate unchanged at 4 percent, confident that increased government spending would help the economy regain steam.

Trading volume in Manila fell to just 28 percent of the full-day average over the past 30 days, similar to most others in the region.

In Bangkok, the SET index was up 0.8 percent at midday, recovering from the previous day's weakness.

Oil prices, which edged higher on hopes of stronger-than-expected U.S. crude demand, helped lift energy shares such as PTT and PTT Global Chemical.

"Both will continue to benefit from higher crude oil prices and are expected to post robust second-quarter earnings and will be window-dressing targets," strategists at broker Krungsri Securities wrote in a note to clients.

Investors chose to be optimistic on the chances of a Greek debt deal, helping Asian shares rally for a sixth straight session while the dollar held broad gains as the prospect of US rate rises came back on the radar.

source: www.abs-cbnnews.com

PSEi closes above 7,900 level for the first time

MANILA, Philippines -- The Philippine Stock Exchange index (PSEi) extended its rally, ending closer to the 8,000 level it hit in early Monday trading.

Big gainers were led by Ayala Land and Jollibee Foods Corp., which both rose more than 2 percent.

SM Prime Holdings Inc. and Aboitiz Power Corp. also surged.

Overall, the main index closed at 7,940.49, up 0.52 percent. This was the first time the PSEi closed above the 7,900 level, and also surpassed Monday's record close of 7,899.41.

The PSEi joined most other Asian markets, which closed at their best quarter since 2012.

Investors bet the Fed will raise interest rates later than expected, while China ramped up stimulus and oil continued to fall.

"The PSEi managed to extend its gains for a fifth straight day on positive news coming out of US, Europe, and China. We are optimistic that the continuous flow of good news locally and from overseas will provide basis for the sustained growth of not only the index but overall market activity," PSE President and CEO Hans B. Sicat said.

The PSEi has had 23 record finishes and 17 intraday record highs since the start of 2015.

At the foreign exchange market, the peso strengthened to P44.70 against the US dollar. - With ANC

source: www.abs-cbnnews.com

Philippine shares off record close

BANGKOK - The Philippine main index slipped on Thursday from the previous session's record closing high, while energy shares underperformed in Southeast Asia as investors cashed in for quick gains amid oil market volatility.

Oil prices fell on Thursday, extending big losses logged in the previous session as record high inventories in the United States coupled with concern over global demand cut short a four-day rally.

The Philippine composite index ended down 0.5 percent at 7,674.24. It hit a record closing high of 7,716.06 on Wednesday.

Energy Development Corp and First Gen Corp fell amid foreign-led selling, stock exchange data showed.

In the region, losers and actively-traded stocks included Singapore's Keppel Corp, Malaysia's Tenaga Nasional Bhd, Thailand's PTT Exploration and Production Pcl and Indonesia's Perusahaan Gas Negara.

In Jakarta, palm oil shares outperformed the broader market, led by a 3.5 percent jump in Astra Agro Lestari.

Malaysian palm oil climbed almost 5 percent on Thursday, buoyed by hopes that top producer Indonesia's plan to increase biodiesel subsidies would make blending profitable.

source: www.abs-cbnnews.com

Philippine shares off all time highs

BANGKOK - The Philippine index retreated on Thursday as investors sold in an overbought market after a rally driven by upbeat economic data, while most others stock markets in the region pulled lower with Asia spooked by the U.S. Federal Reserve's signal of a possible rate hike.

Asian shares extended losses on Thursday after the Fed took an upbeat view on the U.S. economy and signalled that it remains firmly on track to raise interest rates this year despite an uncertain global outlook.

The Philippine composite index edged down 0.17 percent.

It earlier hit an intraday all-time high of 7,736.97 which briefly sent the index's 14-day Relative Strength Index (RSI) above 70, an overbought level.

The Philippine economy grew an annual 6.9 percent in the fourth quarter, boosted by strength in the industrial sector, rounding out 2014 as the fastest-growing economy in Asia.

Malaysia's index eased 0.7 percent to 1,782.51, heading for a second straight day of loss. Energy stocks were among those actively traded amid low oil prices, with Sapurakencana Petroleum down 0.7 percent and Tenaga Nasional off 1.5 percent.

Maybank IB Research said in a report it maintained an end-year 2015 target for the index at 1,830 and that its strategy on the market was still defensive. Its recent roadshow reflected bearish sentiment among institutional investors.

"Our take is that most of the funds we met have reasonably reduced their exposure to Malaysian equities since the roil on crude oil price began ... This is to be expected since investors generally do not like uncertainties," the report said.

Bucking the trend, Singapore shares eked out slim gains as investors still digested the Singapore central bank's unexpected easing of its monetary policy on Wednesday to slow the appreciation of the Singapore dollar.

"Particularly for foreign investors, this is a double whammy coming after the fall in equity and asset prices, and may lead to a reassessment of portfolios," said broker NRA Capital in a report.

Large caps were mixed, with shares of DBS Group Holdings down 0.2 percent and Keppel Corp up 1.3 percent.

source: www.abs-cbnnews.com

Philippine shares snap losing streak after Moody's upgrade

BANGKOK - Philippine shares rose on Friday as investors cheered a sovereign credit rating upgrade by Moody's, while other markets in the region were range-bound as a further drop in crude oil prices kept sentiment cautious in most part.

The Philippine main index traded up 1.1 percent at 7,147.19, after its fifth straight fall on Thursday to the lowest close since Oct. 28.

The gain trimmed the index's loss so far on the week to 0.5 percent. Most regional markets posted weak performances on the week, amid losses in shares of oil-related firms and a tumble in crude oil prices.

Moody's Investors Service upgraded its rating on the Philippines by one notch to Baa2 from Baa3 with a stable outlook, citing a decline in the Philippines' debt burden and structural improvements in fiscal management.

Shares of BDO Unibank jumped 2 percent after Moody's upgraded long term ratings on the bank along with three others.

Thai SET index erased early gains and fell.

Investors bought beneficiaries of weak oil prices with brent crude continuing its march downwards and dropping to a 5-1/2-year low of $63 a barrel, bringing this week's losses to more than 8 percent.

Shares of airline firms outperformed the broader Thai market, led by Nok Airlines , Asia Aviation and Bangkok Airways. Shares of energy firms extended their losses, led by PTT Exploration and Production.

"The rebound may remain fragile as pressure from energy counters would continue to weigh on the market," strategists at broker Phillip Securities wrote in a report.

The SET index is on track for a weekly loss of almost 5 percent, after three weeks of gains, due to heavy selling in energy shares.

Indonesia's index eked out a small gain, with banking shares, including Bank Rakyat Indonesia and Bank Mandiri, edging higher after the central bank kept its policy rate at 7.75 percent as expected.

source: www.abs-cbnnews.com

PH stocks fall after 'lower-than-expected' Q3 GDP

BANGKOK - Philippine shares retreated on Thursday after data showed economic growth slowed sharply in the third quarter while energy shares underperformed across Southeast Asia as global oil prices continued falling.

The Philippine composite index fell 1.24 percent to 7,265.34, coming off a more than six-month closing high of 7,356.59 hit on Wednesday.

The Philippine economy expanded by 5.3 percent from the same period last year, hit by a contraction in state spending and weaker growth in all sectors. Economists polled by Reuters had forecast annual growth of 6.6 percent.

The selling was broad based, with 22 out of 30 large cap stocks on the key index declining. The top loser was SM Prime Holdings, which dropped 4.6 percent, after its share placement at a lower-than-market price.

Selling hit energy-related stocks across exchanges, with brokers citing the OPEC meeting on Thursday as a market focus.

Brent crude fell to a four-year low under $76.30 a barrel on Thursday as it became increasingly unlikely that OPEC would cut output in support of prices during a meeting in Austria.

"We believe OPEC won't cut production but will rather let the oil trading market stabilize according to demand and supply," strategists at Krungsri Securities in Bangkok wrote in a report.

Shares of Malaysia's Sapurakencana Petroleum slipped 4.7 percent, Thailand's top energy firm fell almost 1 percent and Indonesia's Perusahaan Gas Negara traded down 1.2 percent.

source: www.abs-cbnnews.com

PH shares up for 2nd day

MANILA, Philippines - Philippine shares closed higher for a second day led by companies with strong profit reports.

The Philippine Stock Exchange index closed 0.39 percent higher at 7,232.87 on Wednesday.

Globe Telecom and Energy Development Corp. paced index gainers after posting strong results.

Globe managed to grow profit and sales in the first nine months of the year, despite its main competitor PLDT's poor showing in the same period. Globe closed nearly 3 percent higher at P1,690.

EDC gained 3 percent, getting an additional boost from the Department of Energy's approval of its application to place its 150 megawatt Burgos Wind farm under government's feed-in-tariff program. EDC closed 3 percent up at P8.13, while First Gen and First Philippine Holdings are ended the day higher.

Manny Villar's Vista Land also surged after posting double-digit profit and sales growth in the third quarter.

All of the big real estate developers have posted steady profit expansion in the first nine months and investors have been buying up their shares, including Ayala Land and Filinvest Land. Robinsons Land, which has yet to report, surged 3.4 percent in Wednesday trade.

Solaire operator Bloomberry closed in the green after a 3-day, 15 percent drop. The stock fell 7.5 percent on Tuesday after a sharply discounted share sale.

Analysts say the drop was overdone considering Bloomberry has posted stellar profit growth this year.

Also trading higher was the SSI Group. It gained 2 percent after announcing it will open its online retail website SSILIFE on Saturday. It also bought the franchise rights to three more international brands. SSI closed 2 percent up at P7.89.

source: www.abs-cbnnews.com

Tiu's companies lose over P1-B in stock market value

MANILA, Philippines - In less than a month after he was accused of being Vice President Jejomar Binay's dummy, businessman Tony Tiu has lost over a billion pesos in the value of his company's stocks.

He has two firms listed at the Philippine Stock Exchange - Greenergy Holdings and AgriNurture.

Greenergy Holdings, owner of Sunchamp Real Estate Development, suffered the biggest loss.

Tiu bared that the hacienda in Rosario, Batangas is a property owned by Sunchamp, contrary to claims of senators who say Binay is the real owner.

October 7 marked the first time Tiu's name was mentioned in the Senate hearings over the alleged overpricing of Makati City Hall Building 2.

On that day, Greenergy was worth P1.981 billion. As of Thursday's close, the company's value is now P954 million.

In just a few weeks, over a billion pesos in value was lost.

AgriNurture, a supplier and exporter of fruits and vegetables, suffered a similar drop. It also runs retail operations, including juice company The Big Chill.

On October 7, AgriNurture was worth P1.616 billion, and now it is only worth P1.4 billion -- a loss of P192 million.

The movement of shares of AgriNurture and Greenergy at the PSE showed they slightly recovered after Tiu's denial of the allegations against him, through disclosures on October 9 and 10, and after his first testimony at the Senate on October 23.

But after that, it was all downhill.

In total, P1.219 billion in value has been lost.

This isn't a blow to Tiu alone. The shareholders of both companies are also affected, including US agribusiness giant Cargill, which owns a 30 percent stake in AgriNurture through Black River Capital.

Cargill's investment in AgriNurture, according to Tiu, is proof positive that he is a legitimate businessman, not a mere dummy to a politician.

But Senators Alan Peter Cayetano and Antonio Trillanes aren't buying it.

They say even Cargill could be an accessory to Binay's efforts to hide alleged ill-gotten wealth.

The controversy isn't lost on regulators. The Securities and Exchange Commission and Philippine Stock Exchange are now watching the Senate hearings closely to check for possible violations by Tiu.

source: www.abs-cbnnews.com

PSEi falls to lowest level in a month

MANILA – The Philippine Stock Exchange index (PSEi) fell to its lowest level in a month, slipping below the 6400 territory.

The index plunged 1.3% to settle at 6355.18.

There were 103 decliners versus 53 advancers while 37 issues were unchanged.

Among Friday's big losers were SM Investments and Meralco, both of which fell around 5%, and the Lucio Tan group, which dropped 9.3%.

Bucking the downswing was the Gokongwei group's JG Summit, which soared over 7% on its inclusion in the MSCI Global Standards Index.

There was little change in the peso at the foreign exchange market, as it closed at P43.20 against the dollar. -- ANC

source: www.abs-cbnnews.com

PH stocks end the week in the red

MANILA, Philippines - Philippine shares ended the week in the red as most investors stayed on the sidelines for the last five trading days, waiting for developments on the U.S. budget impasse that could shutdown the government of the world's largest economy by next week.

On Friday, the PSEi ended at 6,379.81, down 0.42%.

Daily value turnovers came in well below the roughly P11 billion average for the year so far, and for the week itself, the PSE index fell 0.69%.

The euphoria over the Federal reserve's decision last week not to slow monthly bond purchases, assuring low interest rates for a longer period, was short lived. But it did spark a bout of fund raising by listed companies.

On Friday, Aboitiz Equity Ventures and the Gotianun group's East West Bank announced plans to raise P10 billion each, with Aboitiz tapping the retail bond market and East West issuing Basel III compliant securities.

On Thursday, Andrew Tan's Alliance Global revived its planned Initial public offering for its casino joint venture with Genting, Travellers international. But it halved the original size of the offer, from $1 billion to $480 to $450 million. Reports say it could be cut further if the market continues to be "volatile."

Investors sold AGI shares Friday, while buying up its competitors, including Enrique Razon's Bloomberry Resorts, the Sy group's Belle corporation, and Sy partner Melco Crown.

Other movers Friday include Lucio Tan's the LT Group, which rose nearly six percent, rising for a 2nd day as it recovers from a slump related to a trademark infringement case on its gin brand Ginebra Kapitan.

Security Bank rose over five percent as well, as it prepares to offer new preferred shares to holders of its common stock.

source: www.abs-cbnnews.com

PSEi nears 6,200 level in morning trade

MANILA, Philippines - Philippine stocks got off to a great start this week, nearing the 6,200 level on Monday morning trade.

The Philippine Stock Exchange index (PSEi) stood at 6,176.41, up 0.61% as of 12 noon.

The new intraday high stood at 6,193.25, just a few points shy of the 6,200 level.

Among the gainers so far were Philippine Long Distance Telephone Co. (PLDT), SM Investments Corp. and D&L Industries.

source: abs-cbnnews.com

Disappointing US jobs data seen to temper PH stocks' ascent

MANILA - Philippine share prices are seen to continue their ascent to unchartered territory on the strength of the local economy, but the market's resiliency may be tested by last Friday's disappointing US jobs data.

"The local economy has been producing numbers in line with, if not better than, official targets making market watchers, stakeholders and analysts a seemingly conservative lot. Such numbers have provided a buffer against a still uncertain global environment and growth prospects," said Jun Calaycay of Accord Capital Equities Corp.

Also boosting the appetite for the local equities market is the anticipation of better first half financial results from listed companies, BPI Trade said.

The Philippine Stock Exchange index was off to a strong start in July with a gain of 2.22 percent week on week highlighted by a new intraday high of 5,403.16 and an all-time high of 5,369.98 as the local market got a boost from Standard & Poor's credit rating upgrade on the Philippines to “BB+”, a notch below investment grade.

"As gauges move closer to 5,400, momentum appears geared for 5,500 to 5,700. Nevertheless, it would be prudent to anticipate price swings since ‘fiscal integration’ in Europe needs to go through a process," said Freya Natividad, investment analyst at 2TradeAsia.com.

After the central banks of China, England and Europe relaxed monetary policies last week, investors await the minutes of the latest Federal Reserve policy meeting, which will be released on Wednesday, to see what officials plan to boost the sluggish US economy.

This, after the Labor Department reported that the US created only 80,000 new jobs in June, below the expected 100,000, the latest sign that the world's biggest economy is in a soft patch. On Friday, the Dow Jones Industrial Average tumbled 124.20 points, or 0.96 percent, to 12,772.47.

"While all this [monetary easing] may be positive for the markets, when and how these stimuli and measures will translate to growth remain a concern," said Maria Arlysa Narciso of AB Capital Securities Inc.

After the release of the Fed's minutes, it will be the turn of Japan's central bank to assess the health of its economy. China will also report a stream of economic indicators, including its gross domestic product, helping the market size up the world's second biggest economy.

Following its run-up to unprecedented levels, Narciso said a correction may be possible this week given the high valuations and overbought levels for the market.

"The local outlook, although still rosy, will remain influenced by external weakness of major economies," she said.

source: interaksyon.com

Philippine stock market seen to climb this week

MANILA – Philippine share prices are seen to climb this week as the mid-year window-dressing drew to a close and investors take on more risk after the EU pledged to help out troubled members.

Jose L. Vistan, senior research manager at AB Capital Securities, said the market would see a correction this week since profit-taking – mainly fueled by fund managers' window-dressing – has ended.

Last Friday, the Philippine Stock Exchange index went sideways for a third straight session, shedding 9.74 points to close the week at 5,246.410.

Total volume traded reached 3.033 billion shares worth P43.9 billion, bulk of which came from the P39 billion block sale of Eduardo "Danding" Cojuangco's remaining 11 percent stake in San Miguel Corp. to the company's chief operating officer, Ramon S. Ang.

"Last week's driver was mainly the window-dressing," Vistan said, adding that trading would be quiet since no critical economic numbers are scheduled for release this week.

Last month’s inflation already has been discounted by the market as benign.

"Past the half-way mark of the year, the market continues to show strength, despite heavy headwinds from external sources. This is a confidence vote on the domestic economic prospects which has remained rosy," Jun Calaycay of Accord Capital Equities Corp. said.

"A recent review of macro-targets resulted in keeping the original numbers despite the strong indicators posted in the first quarter – and the anticipated strong results for the second quarter. This is seen to provide more fodder to optimism that will reflect in a sustained uptrend in general equity prices," he added.

Besides the good local fundamentals, global markets cheered after European leaders on Friday agreed to provide aid to troubled banks and keep the financial crisis from spreading.

US stocks went up two percent, with the Nasdaq finishing three percent higher and the Dow Jones Industrial Average up 277.83 points to 12,880.09.

"Barring unforseen reversal of sentiments in Europe’s progress following a series of good news such as Greece’s election, EU leaders’ commitment to provide aid to troubled members and expanding EIB funding, investors are expected to increase exposure to risk-assets,” Calaycay said.

With that, market support is seen at 4,863.42 and a breach of the 5,300-mark "is not far-fetched," he added.

source: interaksyon.com