Index heavy PLDT drags down shares by 9 pts

Local share prices closed mixed but the prevailing negative sentiment and the drop in index-heavy PLDT weighed down on the market, causing the Phisix to resume its downtrend in yesterday's trading.

A day ahead of the dreaded interest rate hike in the US, the composite index fell 9.11 points or 0.6 percent to 1507.98 although 56 stocks advanced as against 23 decliners and 37 unchanges issues.

The broader All-Shares index likewise gained momentum, ending nearly six points higher at 613.34. The oil, finance and property counters made improvements but these were offset by the drop in the C-1 and mining stocks.

A total of 1.873 billion shares changed hands on a still thin, but nonetheless improved, turnover worth P1.024 billion.

The local market neglected the gains in the Dow Jones and Nasdaq bourses but cannot seemingly look for direction in the other Asian exchanges. Stocks ended higher in Tokyo, Singapore, Taiwan, Thailand and Kuala Lumpur but were down in Hong Kong, Korea and Indonesia.

PLDT was the most active stock as a massive selldown, even in New York, ensued following the dismal results of its first quarter financial figures, along with its cellular subsidiary Pilipino Telephone Corp. TEL lost P60 to end at P705.

Other heavily traded issues like gaming firm BW Resources and Internet stocks PhilWeb and iVantage closed higher at P5.6, P0.165 and P1.74, respectively.

Lopez holding firm Benpres Holdings Corp. also suffered a selldown as it dropped 10 centavos to P4.7, on news that its income shrinked by half to P23.4 million in the first quarter as affiliate companies ABS-CBN Broadcasting Corp., Meralco and First Philippine Holdings Corp. reported lower or flat earnings contribution.

Other first quarter earnings reports came from mall chain giant SM Prime Holdings, which posted a 10-percent improvement to P813.9 million; port operator International Container Terminal Services Inc., a 16 percent increase to P80 million; Robinsons Land Corp., a 44-percent jump to P405.5 million in six fiscal months; and Piltel, widening its losses to P1.2 billion.

Meanwhile, Ayala Corp. disclosed that its was jointly developing a luxury residential apartment in Repulse Bay, Hong Kong in joint venture with two Hong Kong companies.

Ayala International Pte Ltd, the parent company of TLB Land has entered into a shareholders agreement with Bondax Holdings Ltd. and Westrata Property Development Ltd. to infuse S$5.8 million (roughly P140 million) equivalent to a 20-percent equity stake in the project.