Philippine stocks to test upper level: analysts

Agence France-Presse

Posted at Feb 13 2009 05:13 PM | Updated as of Feb 14 2009 01:13 AM

Philippine share prices should rise and may push the key index to the 2,000-point level next week but it is not likely to go any higher, analysts said Friday.

"Locally, we're in better shape so we should be testing the 2,000-point level," said Jasper Jimenez of BDO Securities Corp.

"There is momentum that will continue until next week," he said, but warned that "the previous time it tested 2,000-point level, the market succumbed to profit-taking."

However Jomar Lacson of Campos Lanuza and Co. Inc. said the market "is finding it difficult to reach the 2,000 level. There is no reason for us to expect it will change anytime soon."

"There is no stimulus, there is nothing to drive the market either up or down," he said, predicting that it would move within the range of 1,800 to 2,000 points in the coming week.

"Everybody is more risk-averse so they are willing to generate profits within this band," he remarked.

For the week to February 6, the composite index rose 117.39 points, or 6.4 percent, to 1,924.48.

Average daily turnover rose to 750.6 million shares worth P1.39 billion ($29.5 million) from 617 million shares worth P911.4 million in the previous trading week.

For the week to February 13, the composite index fell 4.82 points or by 0.25 percent to 1,919.66 points.

Average daily turnover rose to 1.855 billion shares worth P2.05 billion ($43.34 million) from 750.6 million shares worth P1.39 billion in the previous trading week.