POSITIVE sentiment buoyed the benchmark PSEi for two successive trading days on the Philippine Stock Exchange on Wednesday, ahead of the first-quarter gross domestic product (GDP) data.
The Philippine Statistics Authority is scheduled to announce the first quarter GDP results today. The economy is widely expected to have grown between 6.5 percent and 7 percent.
The benchmark PSEi gained 35.46 points or 0.47 percent to close at 7,826.53 while the wider All Shares rose by 0.23 percent or 10.86 points to 4,653.01.
There is no stronger catalyst for the market at this point, said Harry Liu, president of Summit Securities Inc.
“The market was only having reactions. There is no change as there was no new economic news that would perk up the market, yet, except because of the initial public offering (IPO),” he said.
“Eagle Cement will end its offer period on Monday, while the Cebu Landmasters will start in the following few days,” Liu noted.
“Once this is out of the way, the next news that we’ll look at is the GDP, the six-month financial report of companies by June and these economic developments from the Asean meeting. These will perk up the market,” he added.
Eagle Cement, led by tycoon Ramon Ang, is selling 500 million primary shares at P15 per share, with an overallotment option of 75 million secondary shares. Proceeds from the IPO will be used to partly finance a P12.5-billion expansion in Cebu, and the construction of a 2 million metric ton cement plant.
Cebu Landmasters is offering 505 million shares, both primary and secondary, at P5 per share, with an overallotment option of 75 million shares.
Among the most actively traded stocks were International Container Terminal Services, Inc. (+2.16 percent), Metropolitan Bank and Trust Company (+1.14 percent) and SM Investments Corp. (+0.78 percent).