Index inches up on late support for market leader PLDT

Share prices closed 0.20 percent higher yesterday, steadying after recent losses on late support for market leader Philippine Long Distance Telephone Co. (PLDT) in a generally range-bound session, dealers said.

They said trading volumes are expected to thin further as the Easter holiday break approaches. Financial markets are closed on April 13 and 14.

The composite index added 4.43 points to 2,194.20, after trading between 2,181.33 and 2,195.12 on volume of 1.08 billion shares worth P973.74 million.

Losers and gainers were even at 42 each, with 55 stocks unchanged.

The broader all-shares index rose 0.34 points to 1,349.68.

"The market is slowly getting into vacation mode, plus there’s very little news," said Lawrence de Leon of Accord Capital Equities.

"Fund managers are starting to liquidate their positions in the market. Given this trend, the best time to buy stocks would be during Holy Week," said Jonathan Ravelas of Banco de Oro.

Top-traded PLDT closed up P10 at a a fresh record high of P1,935 following gains in its New York-listed shares.

Investors also snapped up Philex Mining after gold and silver futures rose to their best levels in over two decades.

Philex A, restricted to local investors, jumped 30 centavos to P2.90 while Philex B, open to foreign investors, rose 25 centavos to P2.90.

Globe Telecom was down P5 to P870 while affiliate Manila Water dropped 10 centavos to P6.40.

Their parent Ayala Corp. gained P2.50 to P357.50 after announcing a placement of up to $20 million in an international investment fund.

San Miguel A ended flat at P60.50 while San Miguel B was off P2 at P79.

AB Capital Securities research director Jose Vistan said the market was in "a healthy consolidation" and still bullish.

The month of April is also tax month in the Philippines, so investors may set aside more funds for tax payments, which may affect liquidity in the stock market.

Other active stocks included Philex Mining B, up 9.4 percent at P2.90, and Philex A, higher by 12 percent at P2.90 on rising gold prices, which are expected to translate to strong earnings for the company this year.

Manila Water fell 1.5 percent to P6.40 on profit-taking, while Globe Telecom lost 0.6 percent to close at P870.

Gerardo Ablaza, the president of the country’s second largest mobile phone company by subscribers, told stockholders during their annual meeting Tuesday that he expects the entire cellular phone industry to register single digit revenue growth on account of slower expansion in the subscriber base. – AFP, AP