PH stocks end the week in the red
MANILA, Philippines - Philippine shares ended the week in the red as most investors stayed on the sidelines for the last five trading days, waiting for developments on the U.S. budget impasse that could shutdown the government of the world's largest economy by next week.
On Friday, the PSEi ended at 6,379.81, down 0.42%.
Daily value turnovers came in well below the roughly P11 billion average for the year so far, and for the week itself, the PSE index fell 0.69%.
The euphoria over the Federal reserve's decision last week not to slow monthly bond purchases, assuring low interest rates for a longer period, was short lived. But it did spark a bout of fund raising by listed companies.
On Friday, Aboitiz Equity Ventures and the Gotianun group's East West Bank announced plans to raise P10 billion each, with Aboitiz tapping the retail bond market and East West issuing Basel III compliant securities.
On Thursday, Andrew Tan's Alliance Global revived its planned Initial public offering for its casino joint venture with Genting, Travellers international. But it halved the original size of the offer, from $1 billion to $480 to $450 million. Reports say it could be cut further if the market continues to be "volatile."
Investors sold AGI shares Friday, while buying up its competitors, including Enrique Razon's Bloomberry Resorts, the Sy group's Belle corporation, and Sy partner Melco Crown.
Other movers Friday include Lucio Tan's the LT Group, which rose nearly six percent, rising for a 2nd day as it recovers from a slump related to a trademark infringement case on its gin brand Ginebra Kapitan.
Security Bank rose over five percent as well, as it prepares to offer new preferred shares to holders of its common stock.