1:08 AM
January 18, 2013 4:47pm
 
Philippine stocks surged to a new all-time high on Friday, lifted by economic news and better yields that fueled buying in telecommunications companies. 
 
The benchmark PSEi was up 67.03 points or 1.10 percent to 6,1039.21, breaking an earlier record high of 6,093.9 on Jan  15.
 
More than 6.918 billion shares valued at P9.337 billion were traded.
 
Friday's close was the eighth record high this year. The PSEi registered 38 all-time highs in 2012. 
 
The broader all-shares index was up 0.86 percent to 3,862.41. All indices were in the positive territory, led by the 2.-percent in services. 
 
Gainers overwhelmed losers 103 to 60, while 48 stocks were unchanged. 
 
“The PSEi was primarily driven by higher placements in the telecommunications,” said PAPA Securities Corp. analyst Krizia Syquiatco.
 
With good economic data from the US and China, investors were imbued with renewed risk-on sentiment and “opted telecommunications as its dividend yields – which is about 6 percent – was higher than most investments,” she added
 
Telecommunications “rarely register this increase – it rose nearly 3 percent today,” Syquiatco noted. 
 
First Grade Finance Inc. managing director Astro del Castillo noted that data released Friday pointed  to recovery in the US and China, stoking investor confidence. 
 
Stronger-than-expected US housing data suggested growth in the world's biggest economy – the Philippines' top trading partner – was likely to continue.
 
And while China reported its lowest growth in 13 years at 7.8 percent in 2012, a 7.9-percent gross domestic product in the fourth quarter of 2013 snapped seven straight quarters of slowing growth and showed that recovery was on track. 
 
Syquiatco said the market “is poised for a correction and will trade between 6,000 and 6,100 next week.”
 
“While slight consolidation will happen, the bias is still upward,” noted Del Castillo. — VS, GMA News
 

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