Index closes at new all-time high

MANILA, Philippines - The local benchmark index shattered yesterday its previous record close for the ninth time this year as a string of good news both here and abroad lured investors to gobble up more stocks.

The Philippine Stock Exchange index (PSEi) came back strong following its brief hiatus Thursday to climb 0.70 percent or 53.94 points, finishing at a new all-time high of 7,728.18

The broader all shares index also joined the ascent, improving 0.58 percent or 25.75 points at 4,496.74.

Friday’s close has overtaken the PSEi’s previous record finish of 7,716.06 posted just last Wednesday. It was the PSEi’s ninth all-time high close this year and its second for the month of February alone.

Analysts said the market’s climb during the session was due to a mix of positive local and international factors.

“Positive developments abroad, such as the easing of concerns over Greece and the euro zone supported bullish sentiment in the market.  Wall Street’s overnight climb spurred some buying into local shares, easing concern aggressive bets made in previous sessions was overdone,” said Jason Escartin, investment analyst at F. Yap Securities.

A Wall Street rally was led by the Dow which gained 1.20 percent or 211.86 points,  while Asian shares were generally higher with Japan’s Nikkei picking up 0.82 percent.

Domestically, it was the country’s January inflation rate, which was the slowest in 17 months, that provided confidence to buyers, according to Justino Calaycay, Jr., analyst at Accord Capital Equities Corp.

All counters were in the green except for financials which slipped 0.26 percent or 4.64 points.

Three counters, meanwhile, finished with gains of above one percent each, led by industrial firms which gained 1.61 percent or 202.61 points.

Among the biggest gainers during the session was Gokongwei’s Universal Robina Corp. which reported yesterday a double digit earnings growth in the first quarter of its 2015 fiscal year.

URC’s shares went up by 3.43 percent at P211 each, near its 52-week high of P212.20 per share.

Market breadth recovered as well, with advancers trouncing decliners, 105 to 72, while 43 stocks were unchanged.

Value turnover was flat as it stayed at the P10 billion level.

“We are pleased with the market’s movement in the last five weeks. The record numbers registered by the index highlights the level of investor confidence in our market. We hope that our initiatives to raise awareness about investing at the PSE to fund managers here and abroad will see more investment inflows into our market,” PSE president and CEO Hans B. Sicat said.