Philippines shares rise

Philippines share prices closed 0.96 percent higher on Thursday on buying in select blue chips, pushing the key index to a new five-year high, dealers said. They said investors took positions in stocks with bright earnings prospects, while company-specific news also helped drive the market higher. The Philippine Stock Exchange composite index rose 19.38 points to 2,048.24. It moved between 2,028.86 and 2,054.56. Thursday's finish was the best since January 24, 2000 when the index closed at 2,055.56.
Volume hit 1.59 billion shares worth 1.54 billion pesos (27.5 million dollars). However, the broader all-shares index was down 0.33 points at 1,179.27.
Gainers beat losers 73 to 27, with 41 stocks unchanged.
Although concerns persist that the market was already at overbought levels, "investors have been hypnotised by the light of optimism in the equities market," said Astro del Castillo, managing director at First Grading Holdings.
He said laggards in the property sector have been drawing attention.
"Property stocks are active and attractive given the low interest rate environment being maintained by the central bank to support economic growth," del Castillo added.
The central bank's Monetary Board will hold its monthly policy-setting meeting later Thursday with no surprises expected, brokers said.
The central bank's key overnight interest rates have been steady at 6.75 percent for borrowing and 9.00 percent for lending since mid-2003.
The market shrugged off disappointing 2004 exports data, which showed full-year growth at 9.3 percent, below the government's target of 10 percent.
Del Castillo said the market should break through the resistance level of 2,070 before testing 2,100. He identified support at 2,020.
Metrobank was the most actively traded stock, up 50.00 centavos at 35.00 pesos.
First Philippine Holdings was up 1.00 peso at 45.50 pesos, and Ayala Corp rose 10.00 centavos to 8.20 pesos.
DMCI Holding was up 50.00 centavos at 5.00 pesos.
Among property stocks, Megaworld was up 26.00 centavos at 1.90 pesos, Filinvest Land was up 20.00 centavos at 2.04 pesos, while Empire East Land Holdings was up 4.00 centavos at 55.00 centavos.
San Miguel Corp's B shares, open to foreign investors, were up 50.00 centavos at 78.50 pesos, but its A shares, limited to local investors, were steady at 57.50 pesos.