PSE Index Update

   The Philippine Local bourse did well last week as it was bullish for four straight days and followed by a minimal drawdown started last Friday and a continuation was observed yesterday.  Monday’s slump was much higher than in Friday because of foreign market slowdown also. The nice thing happened yesterday was the upsurge of the mining sector.

         If you are investing in PSE index you would definitely get acquainted with the specific stock that makes the day for all trades and holders of this said mining stock on the other day trading session.  This mining magnate officially revealed at noon yesterday that the natives living in the vicinity of their mining fields agreed that the government will have to issue an FTAA o the Financial and Technical Assistance Agreement.  Thinking that this might lead to the approval of the Mines and Geosciences Bureau of that said FTAA.

This stock was included in my watchlist.  This becomes a very hot company in the year 2011 as it provided ample returns of more than five times the capital invested in just few months.

Philippine Banking Sector: Haven't Excused from the Fangs of the Bear

The last two days on trading in the Philippine stock index said to be another turmoil. This is because it continues to crumble down of up to 5678.73 as the lowest points reached on yesterdays trading but regained to almost 5,800 at the closing. The PSEi (Philippine Stock Exchange index) is not only the one who is experiencing bearish sentiments.  The Thailand Index, China Shanghai Stock Index, the S&P and MSCI Emerging Market Index were among the heavily beaten Asian stock indexes yesterday. This is mainly due to the China money market tumult. Many others also showing double top or head and shoulder bears. As of 3PM today the local bourse regained more than 5.50% or 320 points more from yesterdays closing.

PHOTO: Manila, Philippines

In the Philippine setting, I would share some data on the banking sector according to sources I currently known.

The most declined bank stocks are:

    Stock Close High Decline
1. PBB 23.90 38.85 -38.48%   - Philippine Bank of Communications
2. PNB 77.50 116 -33.19%     - Philippine National Bank
3. SECB 140 202.2 -30.76%   - Security Bank

While the most resilient are:
1. UBP 128 153 -16.34%        - Union Bank of the Philippines
2. EW 28.6 36.40 -21.43%     - East West Banking Corp.
3. CHIB 60.1 77 -21.95%        - Chinabank  

For reference, the 3 biggest banks are:
1. BDO 77 99 -22.22%           - Banko De Oro Universal Bank
2. BPI 88 114 -22.81              - Bank of the Philippine Island
3. MBT 104 139.5 -25.45%     - Metopolitan Banking & Trust Corp.

The real investors sentiments to regain the local market losses must be supported by local and overseas trading participants in order to solidly support its status thereby allowing the bearish sentiments to fade. Hoping that today's upward motion of the market is not just a bubble effect.

The Philippine Stock Exchange Index (PSEi) Is Rallying To Its Highest Level

The Philippine stock exchange had recently reaches to its ultimate high level at 4,756 as of January, 24, 2012. It is recorded as its all time high since its inception and may even extend its upward trend in the near future.  This scenario took place for several days starting the first trading day of the year.

One reason for this is the inclusion of PCOMP by foreign financial analysts and investors in the investment watchlist.  I have observed lots of rumors and verified news stating the good dynamics and financial stability of the Philippine economy.

Listed below are some of the good news confirming the sound financial fundamentals of the Philippine economy. The year of the dragon is really been an auspicious year in the Philippines in the field of investing and finance. To clearly understand the news-topics click on the link to read the full details of the aforementioned news.

"Strong dollar inflows will continue to support the value of the peso this year despite the volatilities in the financial markets stemming from the European debt problems, the Bangko Sentral said Friday."

http://www.manilastandardtoday.com/insi ... january/14

"The Philippines has the potential to become one of the top 10 countries that can greatly contribute to global growth within the decade, Goldman Sachs said.
According to the investment bank, the Philippines is among the N-11 [Next 11] economies that are likely to advance to the stage of “growth countries,” or nations that account for at least one percent of global gross domestic product.
The N-11 economies are Mexico, Korea, Indonesia, Turkey, Iran, Egypt, Nigeria, Bangladesh, Pakistan, Philippines and Vietnam."

http://business.inquirer.net/40029/phil ... wth-driver

"According to the Metrobank group, the economy can grow at a faster pace of 5 percent to 6 percent this year on the back of higher government spending and robust overseas Filipino workers remittances that help drive up consumption. Their upbeat projection includes an upgrade to “investment” credit rating for the country this year. The upbeat mood is driven by what it says are robust investment inflows, strong market appetite, lower borrowing cost, liquidity and faster-than-expected capacity to pay debt."

http://businessmirror.com.ph/home/opini ... -go-but-up

"The PSE Composite Index reaching a historic high close was absolutely predictable, almost inevitable. In fact, on December 14, 2011, I wrote that the market could reach 5,000 in 2012. That is only about 8 percent higher than where we are now. We can advance higher than that based on the domestic internals that are fueling this market rally."

http://businessmirror.com.ph/home/opini ... e-going-up