The stock market rose to a seven-week high Friday on foreign buying, after progress on solving Europe’s debt crisis eased concern the global economy will go into recession.
The Philippine Stock Exchange Index increased 66.22 points, or 1.6 percent, to 4,333.72, the highest close since Sept. 9. Gainers beat losers, 90 to 46, with 40 issues unchanged.
Banco de Oro Unibank Inc., the biggest bank by assets, climbed 5.3 percent to P56.30, the highest close since Sept. 19, after Jose Sio, chief financial officer at parent SM Investments Corp., said the bank’s earnings will help drive a doubling in SM’s profit in six to seven years.
SM Investments, the holding company of billionaire Henry Sy, expects profit to double in six to seven years as property, tourism and banking ventures benefit from remittances by Filipino workers overseas and an expanding business process outsourcing industry.
SM Investments shares added 0.8 percent to P557.
Philex Mining Corp., the largest metals producer, advanced 1.9 percent to P24.50, the highest close since Oct 17. So-called core net income this year may be “north of” P5 billion, chairman Manuel Pangilinan said.
Robinsons Land Corp., the second-largest mall builder, climbed 2.3 percent to P12.46, the highest close since Sept. 19, after Macquarie Group Ltd., raised its valuation and earnings estimates for the builder.
Macquarie raised its net-asset-value estimate for Robinsons by 21 percent and increased its 2012 earnings-per-share forecast by 7 percent on growing profits from residential projects and malls, Alex Pomento, an analyst at the brokerage, wrote in a note released.
Philippine National Bank advanced to P54.85. The fifth largest lender said it would sell as much as P5 billion worth of long-term notes “in the coming weeks” after securing central bank approval.
The rest of Asian stock markets rose Friday, continuing to be buoyed by a European deal aimed at slashing Greece’s massive debt and preventing the crisis from engulfing “too big to bailout” countries such as Italy.
Oil prices lingered above $93 per barrel and the dollar gained against the euro but slipped against the yen.
Japan’s Nikkei 225 index jumped 1.2 percent to 9,030.85 at midday as Asian stocks posted a second day of gains on the European news. Hong Kong’s Hang Seng gained 1.9 percent to 20,061.44 and South Korea’s Kospi rose 1 percent to 1,941.58.
Australia’s S&P/ASX 200 gained marginally to 4,350.30 and the Shanghai Composite Index added 1.1 percent to 2,462.38. Benchmarks in Singapore, Taiwan, Indonesia and Thailand were also higher.
Renewed confidence in Europe helped fuel a surge on Wall Street overnight.
The US government reported that the American economy grew at a 2.5-percent annual rate from July through September on stronger consumer spending and business investment. That was nearly double the 1.3-percent growth in the previous quarter.
http://www.manilastandardtoday.com/insideBusiness.htm?f=2011/october/29/business6.isx&d=2011/october/29
No comments:
Post a Comment