Philippine stocks gain as Greek woes ease

MANILA, Philippines—The local stock index gained for a second session on Friday as Greece obtained crucial support from private bondholders on a debt deal, thereby easing earlier fears of a disorderly default.

The main-share Philippine Stock Exchange index added 24.52 points, or 0.5 percent, to finish at 4,980.71.

The gains in the last two days allowed the index to trim its weekly losses but ended 35.59 points, or 0.7 percent, lower than a week ago.

In the morning, news of lower inflation in China and anticipation that Greece will complete a much-awaited private sector initiative kept the index buoyant but gains widened toward the end of the session when it was announced that 85.8 percent of private bondholders were participating in the debt restructuring deal. The movement reflected the optimistic sentiment elsewhere in the region on Friday.

In the local market, the day’s upswing was led by the industrial sector, which jumped by 1.45 percent.

All counters firmed up except for the services subsector.

Value turnover amounted to P5.4 billion, relatively thinner than in previous days. Dealers said this was in line with the seasonal drop in trading activity toward the ides of March and ahead of the Holy Week, which falls in early April.

There were 93 advancers, which outnumbered 73 decliners, while 36 stocks were unchanged.

PLDT, AP, URC, EDC, MPI, Semirara, AGI, JG Summit, DMCI, RLC and Globe aided the PSEi’s climb. Other notable gainers were Security Bank and Geograce.

On the other hand, the PSEi’s advance was tempered by the decline in shares of Metrobank, ICTSI and SM Prime. The non-PSEi stocks that fell in heavy volume were Cebu Holdings, Waterfront and Lodestar.

Overnight, Wall Street likewise traded in an optimistic note in anticipation of Greece’s bond swap with private creditors. The Dow Jones industrial average gained 70.61 points or 0.55 percent to close at 12,907.94.