Philippines share prices rose 0.73 percent on Friday, extending gains in a market at nine-year highs on the back of growing confidence in the outlook for corporate profits and for the economy in general, dealers said.
Telecommunications and mining stocks led the rally, although investors took profits toward the close to limit the day's gains, they said. The composite index added 20.55 points to 2,839.38, after trading between 2,815.01 and 2,853.85. This was the best finish since June 20, 1997 when the market hit 2,881.73.
The all-share index rose 11.03 points to 1,737.28. Gainers led losers 58 to 49 with 52 stocks unchanged. Turnover was 4.39 billion shares worth 3.1 billion pesos (62 million dollars). The peso was at 49.96 to the dollar. "Investors are optimistic that corporate earnings, at least in the next 12 to 18 months, will remain strong," said Lawrence de Leon of Accord Capital Equities.
"Market sentiment is also buoyed by encouraging macro-economic numbers," he added. Figures Friday showed exports in September rose 13.2 percent year-on-year to 4.16 billion dollars, helped by increased electronics shipments. Although slower than the previous month's gain of 21.4 percent, economists say the growth trend remains healthy with the double-digit pace continuing.
Top-traded Philippine Long Distance Telephone rose 35 pesos to 2,580 after hitting an all-time high of 2,610. Globe Telecom jumped 70 pesos to 1,340 pesos. Pilipino Telephone Corp, or Piltel, advanced 30 centavos to 6.20 pesos. Philex Mining extended its gains and led a strong rally in the mining sector, with the stock up 45 centavos to 4.65 pesos. San Miguel A-shares fell 50 centavos to 65 pesos and its B-shares slipped one peso to 73 pesos.