PHILIPPINE shares surged in early trading on Friday on the better-than-expected economic growth in the third quarter.
The bellwether Philippine Stock Exchange index (PSEi) advanced 1.21 percent or 99.42 points to 8,305.86. The All Shares index added 41.83 points or 0.87 percent to 4,876.51.
“We are starting to see the effects of the very positive GDP [gross domestic product]numbers,” said Chris Mangun, research head of Eagle Equities Inc.
The Philippine government reported on Thursday that the economy grew by a better-than-expected 6.9 percent in the third quarter. This was higher than the upwardly-revised 6.7 percent expansion in the second quarter, and was driven by sustained export growth and improved public spending.
“The index bounced off support at 8,200 yesterday (Thursday) and we are seeing a recovery from that,” Mangun added.
But he said, “We are seeing low turnover value and if this does not pick up, then we may not sustain this positive momentum.”
All sectors, except mining and oil, ended higher in morning trade JORDEENE SHEEX LAGARE