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EMERGING MARKETS-Philippine shares end with best weekly gain since June

Published 10/23/2020, 03:28 PM
Updated 10/23/2020, 03:30 PM
© Reuters.
USD/JPY
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USD/SGD
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USD/IDR
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USD/MYR
-
USD/PHP
-
JKSE
-
PH10YT=RR
-
PSI
-
AGI
-
STI
-
LTG
-
BOLT
-
POLL
-

* Graphic: World FX rates http://tmsnrt.rs/2egbfVh
* Graphic: Foreign flows into Asian stocks https://tmsnrt.rs/3lKhL5I
* Foreign inflows into PSI appear to be returning - analysts
* Taiwan dollar gains nearly 1%, 3Q GDP due next week
* Thai markets shut for local holiday

By Rashmi Ashok
Oct 23 (Reuters) - Philippine stocks added 2% on Friday to
end the week with their biggest gain since June, as the easing
of restrictions in capital Manila and slowing coronavirus cases
rekindled optimism and brought back foreign investors.
Broader Asian stocks recorded slim gains, after
better-than-expected U.S. jobs data and signs of progress in
talks for a $2 trillion stimulus deal in Washington supported
U.S. equities overnight. The benchmark Philippine stock index .PSI notched a near
10% gain for the week, as shares of food and real-estate
companies rallied on hopes for increased footfall in malls and
hotels after curfew hours were trimmed earlier this week.
"The economy continues to gear up for recovery as public
transportation come back to 50% of pre-COVID-19 levels. If
developments are sustained, PSEi is poised to match its pattern
of seasonal strength in the last quarter," said Jennifer Lomboy,
fund manager at First Metro Asset Management.
Lomboy also said foreign inflows were finally back, with the
timely passage of the 2021 budget and early encouraging
third-quarter results from some blue-chips also helping.
Data from Refinitiv showed foreigners pumped in about 557.44
million pesos ($11.5 million) into Philippine equities across
the last two sessions, but remain net sellers of local equities
so far in October.
Yields on the Philippine ten-year benchmark bond
PH10YT=RR , usually seen as a safer investment than stocks,
have also climbed recently, signalling the return of optimism.
The peso PHP=PH was also trading higher.
Taiwan's dollar TWD=TP saw most of the action for the day,
adding nearly 1% to continue its bullish run, after data on
Tuesday showed export orders rose for the seventh consecutive
month in September.
The upcoming shopping season in the United States and Europe
and the work-from-home trend that has helped demand for the
country's tech products should keep export demand steady,
Taiwan's finance ministry recently forecast.
Data showed Singapore's main price gauge contracted for the
eighth consecutive month in September, but was marginally higher
than expected. Both, the share index .STI and the Singapore
dollar SGD= traded slightly firmer. Thai markets were closed on Friday on account of a local
holiday.
In the week ahead, focus will turn towards third-quarter
gross domestic product data from Hong Kong, South Korea and
Taiwan, where investors will look for signs of some economic
recovery from the easing of lockdown curbs that had battered
second-quarter performance.

HIGHLIGHTS
** In the Philippines, top index gainers were LT Group Inc
LTG.PS up 9.2% and Alliance Global Group Inc AGI.PS up 8.72%
** Top gainers on the Jakarta stock index .JKSE included
Garuda Metalindo BOLT.JK up 24.75% and Pollux Properti
Indonesia POLL.JK up 24.71%
** Singapore's 10-year benchmark yield was down 0.1 basis
points at 0.859%​​ while 5-year benchmark yields were trading up
0.3 basis points at 0.467%​​

Asia stock indexes and
currencies at 0658 GMT
COUNTRY FX RIC FX FX INDE STOCK STOCK
DAILY YTD % X S S YTD
% DAILY %
%
Japan JPY= +0.08 +3.69 <.N2 0.18 -0.59
25>
China S> EC>
India INR=IN -0.03 -2.95 <.NS 0.25 -1.99
EI>
Indones IDR= -0.07 -5.26 <.JK 0.37 -18.8
ia SE> 7
Malaysi MYR= -0.25 -1.52 <.KL 0.08 -5.59
a SE>
Philipp PHP= +0.19 +4.50 <.PS 2.20 -17.0
ines I> 3
S.Korea C> 11>
Singapo SGD= -0.04 -0.95 <.ST 0.06 -21.5
re I> 0
Taiwan TWD=TP +0.89 +5.09 <.TW -0.14 7.52
II>




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