MANILA, 5 May — The Philippine market managed to close in the black last week as investors and traders alike discounted a Labor Day celebration that might resemble the unruly one year before which incidentally resulted in millions in damages.
Investors changed their minds about the matter even before the actual May 1 celebration so that the composite index gained 51.63 points or 3.9 percent to close at 1,375.59 points. Market turnovers, however, did not fare as well. Value turnover dropped 62.16 percent to 3.27 billion pesos ($65.4 million). Volume turnover fell 39.08 percent as only 2 billion shares changed hands.Since last week, nervousness about May 1 activities have put a lid on investors’ funds. "Many investors felt that last week’s sell-down was too much of an overreaction," Jovis Vistan, senior analyst at AB Securities Inc., said.
Thus the market was able to rally a little and this was sustained throughout most of the shortened trading week. Investors were further heartened as news came out that the United States-based pension fund California Public Employees Retirement System (CALPERS) has reconsidered plans to pull-out from the Philippines some $15 million in investments.
Oliver Plana, head of sales of Asiasec Equities, Inc. said this was one of the reasons for the good performance of yesterday’s trading. "This contributed to the confidence of the market," said Plana.
