spot_img
28 C
Philippines
Friday, March 29, 2024

Market extends rally; Cemex rises

- Advertisement -

The stock market extended its rally Thursday in step with the rest of Asia, as investors are cheered by the more conciliatory noises from China and the US on trade. 

The Philippine Stock Exchange Index rose 34.68 points, or 0.5 percent, to 7,522.92 on a value turnover of P6.1 billion. Gainers beat losers, 109 to 80, with 46 issues unchanged.

Cemex Holdings Philippines Inc. jumped 15.3 percent to P1.88. The company said Wednesday it would no longer push a plan to close down its cement plant in Davao and temporarily lay off workers. Cemex said unit Apo Cement Corp., its main operating subsidiary in Cebu, resumed operations of the two kilns.

Globe Telecom Inc., the second-biggest telecommunications firm, advanced 3 percent to P2,030, while BDO Unibank Inc., the largest lender in terms of assets, also climbed 3 percent to P130.50.

Alliance Global Group Inc. of tycoon Andrew Tan gained 2.5 percent to P12.20.

- Advertisement -

The rest of Asian markets enjoyed more gains Thursday, while uncertainty over Brexit continued to pressure the pound.

Tokyo ended one percent higher and Hong Kong was 1.1 percent up in the afternoon. Shanghai surged 1.2 percent on hopes China will unveil monetary easing measures to coincide with the 40th anniversary of its economic awakening next week.

Sydney edged 0.1 percent higher and Seoul was up 0.6 percent, while Singapore and Taipei each rose 0.4 percent. Wellington and Jakarta were also well in positive territory.

While the tariffs row between Beijing and Washington is far from being resolved, there is a lot more optimism on trading floors this week that the world’s top two economies can make headway in talks over the next three months.

The latest buying queues came from a report that Beijing is considering replacing its “Made in China 2025” program that aims to boost its technology sector, a key point in anger for Washington.

The Wall Street Journal said authorities were looking at putting back the scheme’s timetable by a decade to concentrate on improving standards.

That followed news China had agreed to resume importing soybeans—a major boost for US farmers—as well as remove a levy on US autos imposed earlier this year in response to Donald Trump’s initial tariffs.

China’s technology concession “is far more relevant than China agreeing to restart purchases of American soybeans, or even reducing the tariff on US car imports,” said National Australia Bank strategist Ray Attrill.

Canada’s release on bail of a top executive at Chinese telecoms giant Huawei, whose arrest had sparked fears of an adverse impact on the trade talks, also soothed worries.

The upbeat mood provided another lift to higher-yielding, riskier currencies, with the South African and 1.6 percent up, while the Chinese yuan bounced 0.3 percent.

Sterling is stuck around 20-month lows but held up against the dollar after gaining more than one percent Wednesday in reaction to Prime Minister Theresa May winning a no-confidence vote by her ruling Conservative party.  With AFP

- Advertisement -

LATEST NEWS

Popular Articles