Latest Stories

Foreign investors pick, drive up PH stocks

PSE reports net foreign buying to the tune of P22.7B


The local stock market has attracted droves of foreign investors in the first two months, driving values higher and lifting the main index to unprecedented heights.

Net foreign buying at the local stock market amounted to P22.72 billion from January to February—a dramatic turnaround from the P7.65 billion in net selling reported in the same period last year, the Philippine Stock Exchange said.

In early 2011, investors were dumping emerging market equities due to concerns over rising inflation. But this time around, sound macroeconomic fundamentals have been drawing more funds to Asia’s emerging economies, benefiting the Philippines whose stock market became the region’s best performer in 2011.

The main-share Philippine Stock Exchange index on Thursday breached the 5,000 mark for the first time during intra-day trade. Since the start of the year, the index has gained by 13 percent.

“The trek past the 5,000 index marks a very significant milestone in PSE history. Central banks, especially in the larger, developed economies, have put in place various measures to make sure that we avoid a widespread collapse, and this has provided a rallying point among global markets. Coupled with the country’s own growth story, we are hopeful that this rally will continue,” PSE president and chief executive officer Hans Sicat said in a statement.

The PSE’s total market capitalization as of Feb. 29 stood at P9.31 trillion—up 5.91 percent from the P8.79 trillion reported in the same period last year.

Total value turnover in the first two months reached P331.87 billion, 69.47 percent higher than the level a year ago.

Last January, the PSE extended its trading hours until 3:30 p.m.—part of an effort to increase liquidity in the market.

Stock dealers at first were uneasy about the extended trading hours, but the move eventually attracted stronger interest in the local market.

In terms of sectoral indices, the property index emerged as the best performer in the first two months of 2012, surging by 23.38 percent. This was followed by the financials index, which grew by 21.73 percent.

All other indices also gained in the last two months.

The Philippine economy is all set to grow, and the expected surge will further power stocks to new heights, CLSA Asia-Pacific said in a research paper.

According to the regional investment house, the country is on the cusp of another investment cycle for the first time in 15 years driven by political stability, rising business confidence, low interest rates, robust balance sheet and the country’s long-term demographic potentials.

“The Philippines soars like an eagle again,” the research said.

Follow Us

Follow us on Facebook Follow on Twitter Follow on Twitter

Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: Business , Investments , Markets and Exchanges , Philippine stocks , Stock Activity

  • http://www.facebook.com/iggy.ramirez Iggy Ramirez

    I hope the jacking up of stock index translates to better economy, more work for people, and more purchasing power. If not, then it is nothing but meaningful.

Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94


  • Henares on Pacquiao bashing: I did not start this
  • Drilon, Nancy Binay urge Filipinos to strengthen faith
  • ‘Yolanda’ toll now at 6,300 – NDRRMC
  • ‘Mom, I love you,’ says text from student on sinking ferry
  • Moderate earthquake jolts southern Iran
  • Sports

  • Power Pinays smash India in Asian Women’s Club volleyball opener
  • PH youth boxers off to stumbling start in AIBA World tilt
  • Durant has 42, Thunder beat Pistons 112-111
  • Walker leads Bobcats over Bulls in OT, 91-86
  • Man City slips further out of title contention
  • Lifestyle

  • Pro visual artists, lensmen to judge Pagcor’s photo contest
  • ‘Labahita a la bacalao’
  • This is not just a farm
  • Clams and garlic, softshell crab risotto–not your usual seafood fare for Holy Week
  • Moist, extra-tender blueberry muffins
  • Entertainment

  • Will Arnett files for divorce from Amy Poehler
  • American rapper cuts own penis, jumps off building
  • Jay Z to bring Made in America music fest to LA
  • Why Lucky has not bought an engagement ring for Angel
  • Derek more private with new girlfriend
  • Business

  • Asia stocks fail to match Wall Street gains
  • Fired Yahoo exec gets $58M for 15 months of work
  • PH presses bid to keep rice import controls
  • PSEi continues to gain
  • Number of retrenched workers rose by 42% in ’13
  • Technology

  • Netizens seething in anger over Aquino ‘sacrifice’ message
  • Filipinos #PrayForSouthKorea
  • Taylor Swift tries video blogging, crashes into fan’s bridal shower
  • DOF: Tagaytay, QC best at handling funds
  • Smart phone apps and sites perfect for the Holy Week
  • Opinion

  • Editorial cartoon, April 17, 2014
  • A humbler Church
  • Deepest darkness
  • ‘Agnihotra’ for Earth’s health
  • It’s the Holy Week, time to think of others
  • Global Nation

  • Syria most dangerous country for journalists, PH 3rd—watchdog
  • Japan says visa-free entry still a plan
  • First Fil-Am elected to Sierra Madre, Calif. city council
  • UC Irvine cultural night to dramatize clash of values in immigrant family
  • Filipino sweets and info served at UC Berkeley Spring Fest
  • Marketplace