Here as a news excerpt from http://www.gmanetwork.com
Philippine stocks close at 5,016, an all-time high
(Updated 4:57 p.m.) The Philippine Stock Exchange index closed at an all-time high Friday, breaching the elusive 5,000 mark to close up 77.69 points at 5,016.30 on P7.08-B value turnover.All economic conditions, domestic and overseas, have contributed for the market to reach this historic level, said Summit Securities Inc. president Harry Liu.Positive developments in the Philippines, the US and even in Europe have all been factored in by the market, said Liu.There are no reasons any more — technical and fundamental — at this point going against the market, Liu added.On the domestic front, “What happened was a delayed reaction to the interest rate cut by Bangko Sentral, said trader Justino Calaycay Jr.Overall, the developments in the US, Europe and the interest rate cut in the Philippines “will invite more investors” into the market, Calaycay noted.The Bangko Sentral ng Pilipinas (BSP) lowered its policy rates anew by 25 basis points on Thursday. BSP Gov. Amando Tetangco Jr. said the policy-setting Monetary Board basically sees inflation remaining manageable this year.The decision brought the overnight borrowing rate to 4 percent and the overnight lending rate to 6 percent — key rate levels unseen since July 2009.
'Digesting' the interest rate cut“There was a strong market anticipation for this rate cut… It’s just that the market is only now digesting it,” Calaycay noted.More than 3.150 billion shares valued at P7.112 billion were traded during the morning and afternoon sessions Friday, according to the PSE Market Information.Winners led losers 96 to 66, with 38 issues closing unchanged.Other markets in the region also fared better from recently released US economic data and developments surrounding the euro debt crisis.“Asian shares and the euro inched up on Friday after a flood of cheap European Central Bank funds this week eased fears of a meltdown in the euro zone financial sector, overriding some weak data and concerns about surging oil prices,” Reuters reported.The MSCI Asia Pacific ex-Japan rose 0.4 percent, but stayed below a seven-month high touched on Wednesday. The index was set to add nearly 1 percent for the week. Japan's Nikkei was up 0.5 percent, but pared some early gains on profit-taking, it added.(Click here to read the whole article)
5 comments:
kuya medyo di ko maintidihan tong market index level. would you care to explain. Thanks bro. :)
Hi sis Rej thanks for asking. Well let me make a very simple analogy. The PSEi or the Philippine Stock Exchange Index is like a thermometer. If you notice the old thermometer (the one that has a red fluid inside called mercury) when the temperature is high it rises and when its cold it drops down. That is what the PSEi is. When the stock market is soaring it goes up meaning its heating up indicating a good turnout in the stock trading activity. It also reflects the volume of trading thus a higher number means that the stock market is busy and there is a good opportunity to profit. Now when it goes down it is in a why negative sign. It either means the economy of the country is slowing down thus investing activity slows down as well.
By the way the PSEi is actually an index of 30 companies in the Philippines. Just like the DOW of USA and HangSeng of Hongkong, the PSEi represent the various business sectors traded on a stock exchange and it is usually composed of 3 listed stock base on a set of criteria. If you noticed sometimes some stock make it to the index and sometimes it is taken out of the index.
ic. galing galing mo talaga bro. sa susunod no.1 ka na sa top blogs. :)
oh my my bad madaming wrong spelling :) that should be "way" and not "why" and it should be "30" not "3"
thanks sis rej! Lets be pro-active in our own stock market
oo nga.typo error. back read muna ko dito sa blog mo. magrereview. :)
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