Stock market bullish despite flat finish in 2013
MANILA, Philippines – The Philippine Stock Exchange expressed optimism for 2014, despite having closed 2013 with a nearly flat performance.
PSE president Hans Sicat said its target capital earnings for next year will remain at P200 billion, with the help of 10 companies that are slated to conduct their initial public offerings (IPOs) in 2014.
These include oil and gas exploration firm Frontier Oil Corporation and Top Frontier Holdings Incorporated, a major shareholder of conglomerate San Miguel Corporation. (READ: More firms to list with PSE in 2014)
The PSE also sees that its target average daily trading value in 2014 will grow to P11.55 billion, after it reached P10.5 billion this year. The bourse was also able to obtain a total market capitalization value of P11.93 trillion in 2013.
"If you believe on the 'strong fundamental economic story' – that inflation will continue to be low, and we will continue to post fiscal surplus and that all these factors will drive the domestic economy – then I would say that we should stay on the positive territory next year,” Sicat said.
The country's main bourse was able to earn only P175 billion in capital for 2013, 20% lower from last year's record P219 billion. (READ: No record high for capital earnings in 2013)
Meanwhile, the PSE index, despite breaching the 7,400 level to set an all-time record high in May, gained only 1.3% year-to-year when it closed at 5,889.83 on the last trading day of 2013 on Friday, December 27.
This year was PSEi's worst since 2008, reported ABS-CBN News. – Rappler.com
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