Philippines share prices closed 0.9 percent higher on Tuesday but quick profit-taking limited the upside amid continuing concerns over a possible credit crunch in the United States, dealers said. The composite index added 33.74 points to 3,501.20 but was well off the day's high of 3,545.70.
The broader all-share index rose 16.91 points to 2,268.96. Declines led gains 62 to 48, with 54 stocks unchanged. Volume was 3.7 billion shares worth 6.2 billion pesos (136.7 million dollars). The peso was at 45.349 to the dollar.
"The market started out strong with investors scooping up bargains from the previous declines but it weakened at the end of the session. Obviously, investors are still nervous about potential wild price swings," said Lawrence de Leon of Accord Capital Equities. He forecast that trading will remain volatile in the near-term as the market looks for a more comfortable support level.
Gomer Tan of Regina Capital Development Corp said the key composite index can build a strong base at 3,500 points but noted that the market is "still jittery. We can expect investors to focus on the US housing and credit concerns." The day's top gainers included property stocks, Ayala Land, up 75 centavos at 17 pesos while Megaworld rose 15 centavos to 3.85 pesos. Ayala Corp rose 15 pesos to 530. Newly listed broadcaster GMA Network was up 25 centavos at 10.75 pesos.
GMA debuted strongly on Monday, rising 23.5 percent from its offer price of 8.50 pesos. Rival ABS-CBN Broadcasting was steady at 34.50 pesos. Philippine Long Distance Telephone was flat at 2,595 pesos. San Miguel Corp saw its A shares fall 50 centavos to 71.50 pesos while its B shares were unchanged at 72.50 pesos.