Philippines shares rally, PLDT surges

Philippine share prices closed up 0.83 percent on Tuesday, hitting five-month highs after market-leader Philippine Long Distance Telephone (PLDT) posted record results which helped confirm the recent more positive tone, dealers said.
The Philippine Stock Exchange composite index rose 16.88 points to 2,046.93 after trading between 2,026.31 and 2,049.54.
This was the best finish since 2,051.04 on June 6.
Turnover was 359 million shares worth 1.04 billion pesos (19 million dollars).
The broader all-shares index advanced 8.37 points to 1,238.25.
Gainers led losers 45 to 26 and 46 stocks unchanged.
The peso was at 54.62 to the dollars at midday.
"Undoubtedly, today's rally was driven by PLDT," said Astro del Castillo of First Grade Holdings.
PLDT closed up 60 pesos to 1,780 after hitting a record high of 1,790 pesos immediately after the company unveiled its results during the last hour of trading.
The country's largest telecommunication firm reported record net profit of 25 billion pesos for the first nine months, up 13 percent from a year earlier, on the back of a strong mobile phone business.
"I think the stock reaching the 2,000 pesos level is just a ring away. It's a clear signal from here on," del Castillo said.
He said PLDT is highly likely to achieve its net profit target for the full year of 29 billion pesos because the last three months is typically the strongest season for telecommunication firms.
PLDT's result sparked hopes other companies will report upbeat earnings.
Jonathan Ravelas of Banco de Oro said the market may need to consolidate before staging another rally, having gained six percent after the government started collecting from November 1 an expanded sales tax to cut its massive budget deficit.
PLDT unit Pilipino Telephone advanced 15 centavos to 3.25 pesos.
Bank of the Philippine Islands gained 1.50 pesos to 59, while parent Ayala Corp ended unchanged at 310 pesos. Ayala Land fell 10 centavos to 8.90 pesos.
San Miguel A was flat at 65 pesos and San Miguel B retreated 50 centavos to 89.50 pesos.