052207: Shares close higher; key index hits new record

May 22, 2007
Updated 13:06:30 (Mla time)
Rocel Felix
XFN-Asia

MANILA, Philippines -- Share prices closed higher on follow-through buying as the market stretched gains for the seventh consecutive session, lifting the main index to another record level, dealers said.

Investors, still upbeat about the outlook for the domestic economy, snapped up stocks of companies that have performed well in the first quarter and are likely to deliver better results for the rest of the year.

The 30-company composite index finished up 38.69 points or 1.1 percent at 3,505.03, surpassing Monday’s record close of 3,466.34, after setting a new trading high of
3,505.66.

The broader all-share index gained 21.94 points or 0.99 percent to 2,234.47.

Gainers beat losers 63 to 46, while 57 stocks ended flat.

A total of 7.4 billion shares worth P7.3 billion were traded.

"The market is in unchartered territory and is still looking where momentum would be capped," said Rommel Macapagal, chairman of Westlink Global Equities. "We touched the 3,500 mark and in the next few days we'll see if the market can hold ground."

Astro del Castillo, managing director at First Grade Holdings, said strong economic fundamentals might see the market sustaining gains in the near term.

"It's hard to stop the bulls at this point. The market apparently ignored the Dow Jones industrials' weak close overnight and even higher oil prices.

"Investors are very focused on accumulating stocks that are doing good and are seen to perform consistently throughout the year," said del Castillo.

Power distributor Manila Electric Co's B-shares, the most actively traded stock, sustained Monday’s advance. Meralco's B-shares, open to both local and foreign investors gained P4.50 or 5.03 percent to P94, while its A-shares, limited to Filipinos, added P4.50 or 5.06 percent to P93.50.

Philippine Long Distance Telephone Co. was up P10 at P2,550.

Financial counters were among the day's biggest gainers as Equitable PCI Bank Inc. advanced P5 or 4.27 percent to P122; Metropolitan Bank and Trust Co. edged up P1.50 or 2.31 percent to P66.50; and Bank of the Philippine Islands inched up P1.50 or 2.19 percent to P70.

SM Investments Corp. rose P10 or 2.34 percent to P437.50 and property firm Ayala Land Inc. climbed P0.25 or 1.61 percent to P15.75.

Bucking the trend was food and beverage conglomerate San Miguel Corp. whose A-shares fell P2.50 or 3.50 percent to P69 and B-shares shed P1 or 1.28 percent to P77.

http://services.inquirer.net/express/07/05/22/html_output/xmlhtml/20070522-67322-xml.html