Stocks rise on strong GDP data

By Maiki Oreta, ABS-CBN News

Posted at Aug 26 2010 01:07 PM | Updated as of Aug 26 2010 09:09 PM

MANILA, Philippines - Local stocks ended higher for the second straight session on Thursday as investors cheered the faster-than-expected economic growth during the second quarter of the year.

Trading was halted for almost an hour because of a technical glitch. But the pause gave investors time to digest the second quarter gross domestic product (GDP) data, which came in at 7.9% year-on-year growth, way above market expectations.

At the close of trading, the benchmark Philippine Stock Exchange index rose 1.2% to 3,696.

The broader all-share index likewise climbed 1% to 2,270.

All subindices were in green, led by the property sector, which shot up 2.6% on expectations that the central bank will keep interest rates at record lows given benign inflation levels.

Overall, market breadth was positive as advancers beat decliners, 101 to 40, with 28 issues unchanged.

A total of 1.13 billion shares valued at P3.83 billion were traded.

SM Investments Corp. (SMIC), Philippine Long Distance Telephone Co. (PLDT), and Banco de Oro Unibank Inc. (BDO) were the most actively traded stocks by value.

SMIC gained 0.8% to P484.40 while PLDT finished flat at P2,450. BDO jumped 1.2% to P51.20.