Stocks get fresh boost from rosier IMF outlook on PH

Local stocks on Thursday received a fresh boost from the International Monetary Fund’s decision to upgrade its economic growth outlook on the country, and the US Federal Reserve chair’s announcement that the United States needs to sustain its monetary stimulus.

The main-share Philippine Stock Exchange index jumped by 99.18 points, or 1.57 percent, to close at 6,407.36.

All counters closed up, but the biggest gainers were the industrial and property counters, which both rose by over 2 percent.

Value turnover improved to P7.15 billion from that of the previous day.

There were 106 advancers against 40 decliners, while 43 stocks were unchanged.

Risk appetite on local equities improved after IMF upgraded anew its growth forecast on the Philippines to 7 percent, from 6 percent. But the institution took a dimmer view of the global economy and even downgraded other emerging markets in the region.

Fed chair Ben Bernanke also had a hand in lifting the local stock market when he said that US regulator would need to continue its stimulus program because of the low inflation and high unemployment in the United States.

The day’s top index performer was Petron (+7.01 percent), followed by Bloomberry (+5.82 percent). FGEN, ALI and DMCI were all up by over 4 percent while Philex, AC, URC and Megaworld gained over 3 percent.

MWC, battered by concerns on consumer complaints against pass-on charges, rebounded by 2.73 percent.  Doris C. Dumlao