Stocks rose Friday, ahead of a speech from the US central bank head that will provide clues on the imminent interest rate hike.
The Philippine Stock Exchange index, the 30-company benchmark, gained 35 points, or 0.5 percent, to close at 7,411.68 Friday. The bellwether was also up 6.6 percent since the start of the year.
The heavier index, representing all shares, added 18 points, or 0.4 percent, to settle at 4,435.19, on a value turnover of P9 billion. Advancers led losers, 99 to 75, while 46 issues were unchanged.
Fifteen of the 20 most active stocks ended in the green, led by Philippine Long Distance Telephone Co. which climbed 4.8 percent to P1,742. First Gen Corp. advanced 4.4 percent to P22.45. Globe Telecom Inc. gained 2.9 percent to P2,188.
Meanwhile, Asian stocks slightly rose Friday, as oil pulled back below $50 a barrel. Comments from the Group of Seven leaders Friday morning stressed the importance of global economic growth while stating the potentially disastrous economic consequences of Britain’s exit from the EU.
Traders are sitting tight for clues about the prospects of an imminent US rate hike as Federal Reserve chair Janet Yellen makes a speech at Harvard University later Friday, after recent hints of an increase in June or July from Fed officials.
“The market is off to a good start this morning. However, high valuations and the uncertainty created by Janet Yellen’s speech tonight may keep buyers from getting too optimistic today,” Ric Spooner, chief market analyst at CMC Markets said in a commentary.
Tokyo stocks rose 0.3 percent after Japanese inflation data showed prices falling in April and media reports about a consumption tax hike delay bolstered hopes of extra Bank of Japan stimulus measures.
The negative reading dealt a blow to Tokyo’s faltering war on deflation, raising pressure on the BoJ to expand its vast monetary easing programme, analysts said. with AFP
