PHL stocks end first trading day of 2013 at new record high

January 2, 2013 3:55pm --

 

Philippine stocks closed the first trading day of 2013 on Wednesday at an all-time high, buoyed by the uptrend in Asian markets that thrived on positive developments surrounding the US fiscal cliff debacle.
 
The PSEi gained 48.26 points or 0.83 percent to 5,860.99 from 5,812.73 Friday. 
 
On Dec. 26, the PSEi hit an all-time high of 5,832.83, the 38th record close in 2012. 
 
The broader all shares index, likewise, closed up by 0.75 percent to 3,726.79. 
 
A little over 2 billion shares were traded at P4.350 billion. Gainers overwhelmed losers 128 to 46, while 29 stocks were unchanged. 
 
All indices were in the green led by holding firms and services, which rose by 1.33 percent and 1.27 percent, respectively. 

Accord Capital Equities Corp. analyst Justino Calaycay Jr.  said the agreement reached by US lawmakers “clears the way for one uncertainty, which is on huge tax hikes.”

Calaycay noted that the PSEi may undergo a “tight consolidation” in the coming days before trying to breach the 6,000 area. 
 
Reuters reported that regional stocks hit a five month high Wednesday, driven by the last-minute deal – to prevent a fiscal cliff crisis – between the White House and Congress. 

US President Barack Obama said he will sign a law raising taxes on the wealthiest 2 percent of Americans while preventing a middle-class tax hike.
 
"Tonight’s agreement further reduces the deficit by raising $620 billion in revenue from the wealthiest households,"  Obama was quoted as saying in his speech by the official White House twitter account, @whitehouse.

In a statement, PSE president and chief executive officer Hans Sicat was all positive on the market's outlook. 
 
“World markets have cheered the photo finish resolution of the fiscal cliff in the US. We're off to a good start in 2013,” he said. 
 
“In 2013, we will once again be challenged to become better and to push the market to even greater heights.  Our plans for the exchange and stock market have been laid out and I assure you that there is great reason to be excited again this year,” Sicat added. 

On the back of renewed optimism in international markets, the possibility isn't quite remote that market participants may see “a continuation of the rally” in the next one or two weeks on the back of renewed optimism in international markets, said analyst Miko Sayo at Nieves Securities Inc. —  VS, GMA News