PSEi advances by 109.12 points for Q1

April 4, 2010 8:50 am 

MANILA, April 4 – The Philippine Stock Exchange index (PSEi) has advanced by 109.12 points, enabling it close at 3,161.80 points for the first quarter of 2010.

This was 3.6 percent higher than the figures posted in the same period in 2009.

On March 26, the PSEi surged 128 points or 4.2 percent to end at 3,180.68, its best finish in more than two years after closing at 3,181.05 points on Feb. 20, 2008.

“The market’s performance seems to reflect growing business confidence as tracked by recent industry surveys. As macroeconomic indicators send positive signals and interest rates are kept by the Bangko Sentral ng Pilipinas at reasonable levels, we hope that the market’s rebound will be sustainable throughout the year,” PSE chairman Hans B. Sicat said.

Trading activity increased in the first quarter as the total value turnover grew by 93.2 percent year-on-year. Daily value turnover averaged P3.68 billion or 90.1 percent higher than P1.94 billion average during the first quarter of 2009.

The combined market capitalization of listed domestic issues in the PSE at the end of the first quarter grew by 4.6 percent to P4.18 trillion compared with P3.99 trillion as of end-2009.

Preliminary figures also show that foreign investors were net buyers during the first quarter in the amount of P6.83 billion, reflecting the continued confidence of foreign investors in our local market.

In terms of sectoral indices, the holding firms index emerged as the best performer, rising by a double-digit growth of 22.3 percent from its closing level in 2009. This was followed by the property index, which advanced by 7.0 percent.

“If 2009 was a welcome relief from the downward spiral of global markets in 2008, the year 2010 carries more hope and optimism for investors and businesses in the Philippines. The Philippine economy is poised for rapid expansion, grounded on sound fundamentals which helped it weather the storm brought about by the global financial crisis,” PSE chief operating officer Val Antonio B. Suarez stressed.

Total capital raised amounted to P16.89 billion to date, a large chunk of which was generated by oil refiner Petron Corp. through its P10 billion preferred share offer.

There were also two listings by way of introduction conducted in the first quarter. These were: Integrated Micro Electronics (IMI), an Ayala company that is engaged in providing integrated electronics manufacturing services to global original equipment manufacturers in the computing, communications, consumer, automotive, industrial, and medical electronics markets; and IP E-Game Ventures, Inc., a leading online game publisher in the country.

“The pace of market activity has been good this last quarter and we expect more landmark transactions to follow. Initial public offerings (IPOs), follow-on and stock rights offerings are different modes available to corporations to access the market,” Sicat added.

The PSE is the country’s only stock exchange with 250 listed companies and 184 trading participants.

The Securities and Exchange Commission conferred self-regulatory organization status to the PSE in 1998.

In 2003, PSE shares were listed by way of introduction and the company currently has a market capitalization of approximately P9.3 billion (USD204 million).

With its principal office at the Ortigas Central Business District, the PSE maintains two trading floors in Makati City and Pasig City . (PNA)

LDV/PFN

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