Local bourse ends year on modestly positive note

MANILA, Philippines – The local stock market climbed for a third straight year this 2011, albeit at a more modest pace given the turbulent global markets, bringing the main-share index at 4,371.96 points or 4 percent higher compared to last year.

On the last trading day of the year on Thursday, the Philippine Stock Exchange index racked up 35.33 points or 0.81 percent on the back of window-dressing activities. The index thus recouped most of the losses from profit-taking in the last two days.

Holding firms and services led the day’s rebound, respectively rising by 1.4 percent and 1 percent.  Only the mining index ended lower.

This year’s index gain is smaller than the run-up in the previous two years, but given the global financial crisis, it has even outperformed most markets in the region.

The PSEi surged by 38 percent in 2010 and 63 percent in 2009.

On Thursday, turnover amounted to P4.81 billion ahead of a long weekend.

There were 95 advancers against 69 decliners while 43 stock prices were unchanged.

The index gainers for the day were BDO, PLDT, Globe, BPI, EDC, Aboitiz Power, SM Investments, Metro Pacific Investments, Ayala Corp., AGI and ICTSI.  Non-PSEi stocks NiHao and Security Bank were also up in active trade.

On the other hand, the day’s gains were tempered by the share price decline of DMCI, San Miguel, Philex, ALI, Semirara and RLC.  Lepanto “A” (open only to local investors) also ended in the red.

“There’s window-dressing and it benefited not only the large-cap stocks but also the smaller ones.  It’s really like this at yearend,” said Joseph Roxas, president of local stock brokerage Eagle Equities.

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