Market closes above 6,600 for first time

MANILA, Philippines - The local stock market continued to sizzle, scorching the 6,600-point barrier for the first time to close at a fresh all-time high.

Investors remain upbeat given robust earnings growth reported by several listed firms, analysts said.

The Philippine Stock Exchange index (PSEi), the gauge of the local bourse’s performance, climbed 0.85 percent or 55.49 points to close at 6,620.72 yesterday, erasing the previous all-time high of 6,565.23 recorded only last Monday.

Intraday high also posted a new record at 6,632.56, eclipsing the 6,582.51 a day ago.

“Investors remain upbeat of earnings report,” said Jonathan L. Ravelas, chief market strategist at BDO Unibank Inc.

For Freya Natividad, investment analyst at brokerage firm 2Trade-Asia.com, investors are starting to factor in earnings growth prospects. “Others are also going into the equities markets as they search fo investment instruments that could provide higher yields,” Natividad said.

“The stock market continues to gain interest especially given favorable corporate results and a new listed company,” Astro C. del Castillo, managing director of First Grade Finance Inc., said in a phone interview.

Thrift lender Philippine Business Bank (PBB) of the Zest-O Group debuted in the local bourse yesterday following a P3.2-billion initial public offering.

Wall Street was closed on Feb. 18 in celebration of the Presidents’ Day. Closer to home, Asian shares retreated yesterday.

Hong Kong’s Hang Seng index shed 1.02 percent or 238.03 points to 23,143.91 given concerns on more restriction in the financial sector while Japan’s Nikkei 225 slipped 0.31 percent or 35.53 points to 11,372.34 on profit taking.

In the local front, all subindices were in the green, except for mining and oil that declined 0.33 percent or 72.17 points to 21,924.22. The gainers were led by property companies that rallied 1.89 percent or 50.93 points to 2,752.53.