Index rises on better-than-expected Q3 growth

MANILA, Philippines - Share prices rose yesterday on the back of the six percent economic growth for the third quarter, analysts said.

The benchmark Philippine Stock Exchange index (PSEi) gained 4.11 points, or 0.05 percent, to finish at 7,063.25, while the broader All-Shares index inched up 2.66 points or 0.06 percent to end at 4,056.60.

Except for the property index, all other indexes closed in positive territory , with the mining and oil and industrial indexes as the biggest gainers, advacing 41.25 points and 15.24 points, respectively.

Value turnover reached P6.30 billion as advancers edged out decliners, 75 to 85 while 48 stocks were left unchanged.

Analysts expected the market’s move to stay in positive territory as many factored in an improvement in third quarter economic output.

The National Economic Development Authority and the Philippine Statistics Authority reported yesterday the country’s third quarter economy grew six percent.

“The third quarter growth is an improvement from 5.8 percent in the previous quarter and from 5.5 percent in the third quarter in 2014,” said Socioeconomic Planning Secretary and NEDA director General Arsenio Balisacan.

He said growth in the first nine months is now 5.6 percent, making a six percent full-year growth very much likely given even better prospects for the last quarter.

Strong domestic demand fuelled output growth, led by significant improvements in government spending and household consumption, Balisacan said.