Index hits fresh 8-month high

MANILA, Philippines - Better-than-expected Chinese economic growth and the continued uptick in Wall St. pushed the bellwether index to a fresh eight-month high yesterday.

The benchmark Philippine Stock Exchange index rose 0.75 percent or 49.52 points to end at 6,671.18, its highest closing since 6,728 on July 30. The broader All Shares index added 0.61 percent or 24.46 points to 4,013.03.

China, the world’s second largest economy, reported a gross domestic product growth of 7.4 percent in the first quarter. While it is the slowest uptick in 18 months, it is still above the seven percent forecast.

The economic news lifted Asian stocks, with markets in Japan, Indonesia and Singapore also posting gains.

“Optimism flooded practically the entire Asia Pacific region although a number caved in to selling pressure in the afternoon,” said Justino Calaycay Jr., analyst at Accord Capital Equities Corp.

On Tuesday, Wall St. was carried by blue chip companies led by Coca-Cola and Johnson & Johnson.

The Dow Jones industrial average gained 0.55 percent or 89.32 points to close at 16,262.56, while the broader Standard & Poor’s 500 index improved 0.68 percent or 12.37 points to end at 1,842.98.

“Investors took their cue from an extended rally in US stocks to push the local measure to a second day of advance, closing out the three-session week with gains of 0.4 percent,” Calaycay said.