Sign up | Log in



Home  >>   Daily News  >>   Philippines News  >>   Capital Markets  >>   Philippines stock index continues record-breaking climb
NEWS UPDATES Asean Affairs   4 January 2013 

Philippines stock index continues record-breaking climb


The Philippines' stock index continued its record-breaking climb as it went past the 5,900 level yesterday, buoyed by the upbeat sentiment of global markets that welcomed budget developments in the United States.

Also, the peso strengthened to its highest level in nearly five years as improved outlook on the global economy and favourable sentiment on the Philippines raised investors’ appetite for assets in emerging markets.

The local currency closed at 40.77 against the US dollar, up by 9 centavos from the previous day’s finish of 40.86:$1.

The last time the peso closed stronger than that of Thursday was on March 5, 2008, when it settled at 40.76 against the greenback.

The peso also hit an intraday high of 40.76:$1 yesterday, while the lowest recorded was 40.825.

Volume of trade amounted to $983.7 million—up from the previous day’s $931.8 million.

At the Philippine Stock Exchange, the main-share index surged by 73.06 points, or 1.25 per cent, to close at a new high of 5,934.05. A new intraday peak of 5,960.74 was also reached.

Investors snapped up shares of PLDT, AC, BDO, SMIC and Megaworld.

Although PLDT rose at a faster pace, SM Investments kept its bragging rights as the most valuable stock in the bourse, with a market capitalisation of 560 billion pesos ($13.7 billion). PLDT ended yesterday with a market cap of 553.10 billion pesos.

There were 121 advancers against 47 decliners while 43 stocks were unchanged.

“Events in Washington have played out pretty much exactly as we expected, with Congress compromising on a deal at the very last minute. The deal focused on the revenue side and did not address spending or, most importantly, the debt ceiling. This means there is much to do in the New Year,” said BofA Merrill Lynch in a commentary.

“The [fiscal] cliff is behind us, but now ‘three gorges’—the sequester, the debt ceiling, and the continuing resolution for the 2013 budget—all lie ahead,” it said.
The US budget deal, messy and protracted as it was, may have provided an immediate boost for financial markets, but it may spell over the long term for some Asian assets that are coming off a stellar 2012.

Investors may start to shift some money out of overpriced or crowded Asian investments in favour of the United States on the view that the fiscal deal has allowed the US to avoid a recession while it boosts the prospects for American stocks.

“In the short term, US risk premium will come down now that a deal has been struck and might trigger some reversal of flows from Asia back to the US,” said Hong Hao of Bank of Communication International Securities.

Analysts do not expect a major reversal of funds, but more of a subtle shift as some money managers rebalance their portfolios by taking profits on Asian positions and moving those funds into prospective bets in the United States.

The S&P 500 fell 1 per cent from September through December last year in the buildup to the presidential election and the so-called fiscal cliff. At the same time, Asian markets rallied. Japan’s Nikkei rose 17.2 per cent and the MSCI Asia Pacific ex-Japan index went up by 5.6 per cent.

Southeast Asian markets such as Thailand and the Philippines were top performers last year, but a flood of funds has pushed valuations to levels that look less appealing now on a relative basis.

“There are a lot of great companies in Asean. But as a market, the region is looking pretty fairly valued,” said Bill Maldonado, who oversees about $80 billion as chief investment officer in Asia-Pacific for HSBC Global Asset Management.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
  Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below

Today's  Stories    4 January  2013  
Subsribe Now !
• Law expert named as new AICHR delegate   Subcribe: Asean Affairs Global Magazine
• Vietnam to focus on strengthening ties with Asean Asean Affairs Premium
• 74 Rohingya deported amid opposition from rights group
• Landslide buries cars in Malaysia
Research Reports
on Thailand 2007-2008

•Textiles and Garments Industry

•Coffee industry

•Leather and footwear industry

•Shrimp industry

• Philippines stock index continues record-breaking climb
• Confidence in Malaysia’s economy rises
• Workers laid off, Thai businesses relocating to cheaper destinations
Asean Analysis              3 January  2013     Advertise Your Brand
• Asean Analysis- January 3, 2013  
• Asean Weekly-  December 21, 2012 Sponsor Our Events

Asean Stock Watch      3 January  2013    

• Asean Stock Watch- January 3, 2013

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent

• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More






1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

Our Products | Work with us | Terms of Use | Site Map | Privacy Policy | Refund Policy | Shipping/Delivery Policy | DISCLAIMER |

Version 5.0
Copyright © 2007-2015 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand