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STOCKS
Wednesday rose, ending a seven-day slide that erased $15
billion of market value, after the US Federal Reserve
unexpectedly cut a key-interest rate to stop the world’s
biggest economy from slipping into recession.
Megaworld Corp. and PNOC-Energy Development Corp. (PNOC-EDC)
led the advance among the nation’s biggest companies.
The US is the biggest market for Philippine exports and
home to the largest population of overseas Filipinos.
The
Philippine Stock Exchange index advanced 79.85, or 2.7
percent, to 3,058.26 at the close, snapping a 15
percent, seven-day slump. The measure surged as much as
3.9 percent earlier.
The
gauge Tuesday fell 5.5 percent, extending to 23 percent
its decline from an October 8 record. A 20 percent slide
from a 12-month peak commonly defines a bear market.
Philippine Long Distance Telephone Co., also known as
PLDT, advanced saying its profit increased last year and
that it will buy back its shares. Lepanto Consolidated
Mining Corp. rose the most in more than two months,
pacing the climb among miners, after gold rose the most
since February and copper prices jumped.
Megaworld, the second-biggest Philippine builder by
market value and which makes 20 percent of home sales to
overseas Filipinos, jumped 25 centavos, or 9.8 percent,
to P2.80, its first climb in eight days. PNOC-EDC, the
biggest publicly-traded power producer, climbed 30
centavos, or 6 percent, to P5.30, heading for its
biggest gain in a month.
The Fed
Tuesday slashed its benchmark-interest rate by
three-quarters of a percentage point.
Interest-rate futures show traders expect 76-percent
odds of a half-point cut and 24-percent odds of a
quarter-point decrease when the Fed meets again January
30.
International Container Terminal Services Inc., the
nation’s largest port operator, increased P1, or 3.1
percent, to P33.50, after plunging 16 percent. Robinsons
Land Corp., the second-biggest shopping mall operator,
climbed 75 centavos, or 6.5 percent, to P12.25, its
first gain this year.
Shares
worth P4.51 billion were traded, almost on a par with
the six-month daily average. Five stocks advanced for
each that declined on the exchange.
The
following stocks rose. Stocks symbols are in brackets
after company names.
PLDT(TEL
PM), the nation’s biggest company by market value,
gained P20, or 0.8 percent, to 2,585, off Wednesday’s
high of P2,680 and after plunging 7.4 percent Tuesday.
Mobile phone subscriptions increased net income last
year and the company expects profit to rise this year,
chairman Manuel Pangilinan said Tuesday. He also said
the company may buy back shares.
Lepanto
Class A shares (LC PM), equity reserved for Filipinos in
the gold producer, climbed 3 centavos, or 8.1 percent,
to 40 centavos. Its Class B shares (LCB PM), which have
no ownership restrictions, added 6 centavos, or 16
percent, to 44 centavos, its biggest gain since November
11 Gold for immediate delivery jumped 3.2 percent
Tuesday to $892.34 an ounce on the New York Mercantile
Exchange. The contract recently traded at $887.07 an
ounce. Separately, copper for three months delivery rose
2.2 percent to $7,020 a ton on the London Metal Exchange
Tuesday and recently traded at $6,938 a ton.
Philex
Mining Corp. (PX PM), the largest Philippine metal
producer, increased 30 centavos, or 3.8 percent, to
P8.30, recovering from a three-month low.
Manila
Water Co. (MWC PM), which services half of the
Philippine capital, climbed 75 centavos, or 4.7 percent,
to P16.75, its biggest gain since October 10. The
company’s rating was increased to “neutral’’ from “underperform’’
by Macquarie analyst Dante Tinga, citing a 9.5-percent
decline in the stock this year. |
