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GREED IS GOOD! : Philippine Stock Market (Stock Traders Lounge)



  • DAILODAILO Member PExer
    Mabuhay Philippines signs restructuring agreement for 135 mln usd debt

    MANILA (AFX-ASIA) - Mabuhay Philippines Satellite Corp has signed an agreement with its local and foreign creditors for the restructuring of more than 135 mln usd in debt, company president Gabriel Pimentel said.

    Pimentel said the restructuring plan, which stretches the repayment period until 2007, is already being implemented.

    Mabuhay's total debts consist of 55 mln usd owed to local creditors including Philippine National Bank, Equitable PCI Bank, Bank of the Philippine islands, and Metropolitan Bank and Trust Co.

    It owes a further amount of more than 80 mln usd from the U.S. Export Import Bank.

    Mabuhay Philippines is 61 pct-owned by Philippine Long Distance Telephone Co.
  • DAILODAILO Member PExer
    Philippine SEC to submit BW Resources investigation report by Monday

    MANILA (AFX-ASIA) - The Securities and Exchange Commission will submit by Monday its final report on alleged illegal trading activity in BW Resources Corp shares, although there is a lack of evidence on two issues, SEC prosecution and enforcement department director Elizabeth Martin told AFX-ASIA.

    In the report, the SEC will recommend that charges be filed against BW majority owner Dante Tan and his BW co-shareholder Jimmy Juan for alleged price manipulation, she said.

    "I have objections on only two items and I think these two charges to my mind are not properly documented," Martin told AFX-ASIA by telephone interview.

    She was responding to a newspaper report today which said she finds the entire BW case weak, contrary to her earlier position that the case is strong.

    Martin said the areas of the case she finds weak relate to the role of done-through transactions and private placements as performed by brokers involved in the BW case.

    "These two acts are not illegal acts per se. They will have to be part of a bigger manipulative scheme to be illegal," Martin said.

    Done-through transactions involve brokers placing buy or sell orders with other brokers. Private placements are negotiated purchases of publicly-listed shares.

    "There is no doubt in my mind that there is a strong case in all the other issues. I think the SEC will pursue all the other cases except the ones I pointed out," Martin said.

    Martin said the SEC is currently completing the documentation needed before filing the report with the Justice Department.

  • DAILODAILO Member PExer
    Megaworld open to new investor in BW Resources

    MANILA (AFX-ASIA) - Megaworld Corp said it is open to new investors coming into BW Resources Corp but has not decided whether to divest its stake in the firm.

    "Megaworld, however, welcomes any new investor who can infuse fresh capital and add value to BW Resources," it said in a letter to the stock exchange.

    Megaworld was responding to earlier newspaper reports it is looking to sell its stake of about 72 pct in BW Resources.
  • DAILODAILO Member PExer
    Philex shuts down Bulawan milling ops for 2 mths

    MANILA (AFX-ASIA) - Philex Mining Corp said unit Philex Gold Philippines Inc will shut down milling operations at its Bulawan gold mine in the central Negros Occidental province for a two-month period.

    In a disclosure to the stock exchange, Philex said the shutdown, to take effect July 16 to Sept 15, will mean that about 40 pct of Philex Gold's workforce will have to be laid off.

    Upon resumption of normal operations, only 80 pct of the current work force will be required. A voluntary retirement programme will be put in place.

    Philex Mining said the current mining operations are being conducted at the south block of the Bulawan deposit which is nearing depletion and has "sub-economic" ore grades.

    The company said further development work on the central block of the Bulawan mine is needed to hasten access to better grade ore.

    "The temporary shutdown period will allow the mine to focus its efforts on accelerating and completing the development work," it said.
  • DAILODAILO Member PExer
    Good morning PExers!

    How was everyone's weekend? Mine was great!
    Good luck in your trades :)

  • DAILODAILO Member PExer

    Mondragon trade suspended on investor entry report

    MANILA (AFX-ASIA) - The stock exchange said it has temporarily suspended trading in Mondragon International Philippines Inc shares, pending clarification of a report concerning the possible entry of a new investor.

    The Philippine Star over the weekend quoted sources as saying the Sultan of Brunei is set to take over the operation of Mimosa Leisure Estate through the infusion of 2 bln pesos in fresh capital.

    The stock exchange said the trading suspension will be lifted 15 minutes after the bank complies with the disclosure rule.
  • DAILODAILO Member PExer
    SMC, Petron, Meralco approve rehab plan for Urban Bank

    Manila -- Financially-trouble Urban Bank is about to get a jumpstart as its three biggest depositors -- San Miguel Corp. (SMC), Manila Electric Co. (Meralco) and Petron Corp. -- approved the proposed rehabilitation plan formulated by the Cojuangco-run Bank of Commerce (Bancommerce).

    Under the proposed plan, the three firms are to convert at least 25% of their deposits with Urban Bank and its investment house, Urbancorp Investments, Inc. (UII), into preferred shares, effectively becoming a quasi-equity investor in Bancommerce.

    According to the proposal, Urban Bank's big corporate clients must convert at least 750 million Philippine pesos (PHP) of their outstanding deposits into equity stakes in Bancommerce.

    The three companies approved the terms and conditions of the memorandum of agreement, the rehabilitation plan and the three-way merger of Bancommerce, Urban Bank and UII, according to a statement from Bancommerce. Bancommerce will be the surviving entity.

    At the same time, state pension fund Social Security System (SSS) is being asked to provide PHP600 million in equity to meet the PHP1.65-billion capital needed to rehabilitate Urban Bank. SSS, which has an existing PHP171-million investment in Urban Bank, originally invested PHP286.65 million for its 15% stake in the bank. It has two board seats.

    Bancommerce, meanwhile, promised it will shell out PhP300 million to rehabilitate the cash-strapped bank.

    The signing ceremony took place last Thursday night at the Rockwell Club in Makati City.

    The signatories of the MoA were: Ambassador Jose A. Syjuco, Jr., chairman of Petron; Petron vice-president finance for finance Mario S. Lucas; SMC general counsel and senior vice-president Francis H. Jardeleza; SMC senior vice-president for corporate affairs Alberto A. Manlapit; Meralco president Manolo M. Lopez; Meralco treasurer Rafael L. Andrada; Bancommerce president Raul B. de Mesa; and Bancommerce chairman Antonio O. Cojuangco.

    Formal takeover
    In a related development, the Philippine Deposit Insurance Corp. (PDIC) and Bancommerce are slated to sign today an agreement for the bank's formal takeover of Urban Bank.

    Bancommerce won over Asia United Bank, another bank which bid for the rehabilitation of Urban Bank and its investment house subsidiary.

    Bancommerce plans to reopen Urban Bank 30 days after the approval of the rehabilitation by the Monetary Board, the policy making body of the Philippine central bank, or by the first week of September at the latest.
  • KuyaDannyKuyaDanny Moderator PEx Moderator
    Have there been any notable reactions to the SEC report on BW Resources?
  • DAILODAILO Member PExer
    July 20, 2000 - Thursday
    Philippine Composite Index: DOWN 27.52pts (1.81%) at 11489.97


    Worsening investor confidence and overnight losses in Wall street resulted to
    broad-market sell-offs. Underlying weakness from the ecopolitical front
    intensified further on news that urban terrorsim is the next move from MILF
    terrorists which drew military authorities on alert to guard key public
    utilities including public transport systems, oil depots, power plants, telecom
    centers, etc.. The resulting PNB auction with Lucio Tan as the sole-bidder also
    triggered market speculations of foreign investors disappointment led by PNB's
    minority holder - Templeton Asset Management to direct a broad sell order in
    its exposure in the country.

    Increasing belief of NG's dire incapacity to control its ballooning budget
    deficit continued to support speculations of an interest rate hike.

    Although regional currencies were relatively stable ahead of the speech of US
    Fed Chief A. Greenspan tonight, foreign selling in the stock market may increase
    near-term demand for US dollars. The peso narrowly moved lower to Php44.56/US$
    during the morning trade session from yesterday's close at Php44.51/US$.

    The Phisix kept its downtrend momentum, opening lower by 2pts and extending
    the drop by 34.78pts before a short rally towards the session's end. The
    notable broad market sell-off resulted to increased trade activity with trade
    value turnover at Php832.72m, 38% higher than Php602.87m yesterday. There were
    10 gainers, 96 decliners and 40 unchanged issues. Trade focus (most active stocks) were on TEL, SMCB, MBT, ABSP, and EBC which altogether accounted for
    41% of total market turnover. TEL and SMCB were again the most active issue for
    a second consecutive day accounting for 18.5% and 7.4%, respectively, of total
    market turnover.

    Index-linked stocks breadth had 1 gainer, 24 decliners and 8 unchanged issues.
    Index-linked heavyweights that declined were SMPH, ALI, MBT, PNB, ABS, PCOR, BPC
    and MERB. Only Ionics gained among index-linked stocks.

    Net foreign selling were observed on TEL, SMPH, ABSP, and BPI and AC.

    PSE announced that Pacific Cement Corporation (PCC) has changed its name to
    Pacific Holdings Inc. and its new trading symbol starting tomorrow is PHI.

    Ayala Corporation announced that it is currently in talks with Hormel Foods Inc. of US for a possible investment in Purefoods Corporation (PFC). (AC was
    unchanged at 6.60)

    NG's asset sale to curtail increased budget deficit now shifts focus on PNCC
    with First Philippine Holdings (FPH), the Gatchalian group, and Crown Equities
    Inc. (CEI) as prospective bidders. (PNC was up 10% at Php9.0; FPH was down
    Php0.50 at 21.75; CEI was down Php0.02 at Php0.45)

    PRICE SCAN: MBT - downtrend continues to another new 20-month low at 169
    ABSP - on an 9day consecutive downmove at 47.50
    SMPH - dropped to a 6.5week low at 4.90
    BPC - on a 5day consecutive decline from 4.65 with an intraday low at 4.05
    FLI - on a 7thday consecutive drop to record a 6week record price low at 1.68
    MERB - on an 8day trend decline with intraday low at 60.0


    Crown Equities Inc. (CEI). CEI has long been rumored to be interested to take a
    stake in PNCC directly or through its specific road development projects. Its
    prospective bid on PNCC points to an anticipated entry of a foreign partner
    considering its equity size of merely Php2.1b and with an operating loss of
    Php6m as of end-March 2000.


    Ayala Corporation (AC) - unchanged at Php6.60. AC announced an ongoing talks
    for the possible investment of Hormel Foods Corp. of the US in its subsidiary -
    Purefoods Corporation (PFC). PFC is a listed subsidiary with Php7.8b in assets and market forerunner in processed meats, poultry, livestock and the feeds
    industry. If AC decides to sell 20% to 30% of the firm, the divestment can
    readily generate Php1.6-2.3b. MARKET SCAN and PRICE ACTION. AC's potential
    sale of part of its ownership to Hormel is likely a precondition for bigger
    investment undertaking for PFC. Such development is definitely positive for AC
    as it signifies growing belief of multinationals in the management expertise of
    AC. Partial divestment on PFC also will be a cheaper alternative than obtaining
    new loans for the conglomerates other projects. Long term impact is
    theoretically a better ROE. However, today's broad market sell-off
    overwhelmed such positive development on AC. AC's price momentum is currently
    neutral but toppish as it failed to break key resistance at 7.0. Immediate
    price support is at 6.40 with 6.0 as a key support. AC is a recommended
    LONGTERM BUY. Trading outlook points to a reentry on the stock below 6.40 with
    a recovery objective at 7.20-7.60.

  • gabbie96gabbie96 Member PExer
  • gabbie96gabbie96 Member PExer
  • DAILODAILO Member PExer
    July 24, 2000 - Monday
    Philippine Composite Index: DOWN 1.66pts (0.11%) at 11477.80


    Trade activity was significanly low at Php495.96m (down 48% from Friday's
    turnover) as investors expectedly held back trade action to reasses President J.
    Estrada's state of the nation address (SONA) this afternoon. The market decline
    in Wall Street (-1.02%) and Nasdaq (-2.2%), and a parallel weakness in key Asian
    markets (Hang Seng -0.5% by midday) kept the prevailing bearish sentiment

    The peso narrowly moved lower at Php44.51/US$ during the morning trade session
    from Friday's close at Php44.40/US$. The Central Bank reported that the country's balance of payment surplus for the first four months amounting to
    US$803m exceeded its target at US$420m. Budget Secretary B. Diokno also
    reported that the budget deficit will likely be adjusted accordingly to Php85b
    from its programmed deficit of Php62.5m. Focus now keenly shifts on the SONA
    for indicative adjustments on the country's fiscal and monetary thrusts which
    could provide direction on key interest rates and foreign exchange.

    The Phisix narrowly ranged at +2.42pts / -9.71pts. Breadth of the market
    remain weak with 24 gainers, 48 decliners and 42 unchanged stocks. Trade focus
    (most active stocks) were on TEL, SMCB, MBT, SLC, JFCW, MERB, BPI, and AC which
    altogether accounted for 72.4% of total market turnover. SMCB and TEL were
    again the most active issue for an intriguing fourth consecutive trade session
    accounting for 28.4% and 14.02%, respectively, of total market turnover.

    Selling pressure was more extensive among index-linked issues as there were 5 gainers, 18 decliners and 10 unchanged stocks. Index-linked heavyweights that
    declined were AC, TEL, SMC, JGS, MER, ABS and PCOR. Gainers include SMPH, EBC,
    PNB, ION and CMP.

    Net foreign selling were observed on TEL, MERB, JFCW, and BPI. Domestic small
    cap interest were on GEI (up Php0.04 to Php0.58), MUSX (up Php0.1 to Php5.30)
    and ION (up Php0.50 to Php12.50). Market speculation on GEI points to a
    potential backdoor listing of an IT firm or a substantial equity investment in a
    new technology firm. Local investors joined a speculative play on Music Corp.
    as foreign broker buying emerged anew led by Merril, Wicarr and SG. Ionics
    continues to be one of local favorite given its Philips contract and its ongoing
    negotiation with a foreign partner for a mould manufacturing plant which will
    complement its CDW order. Ionic's listed subsidiary in Singapore - ION EMS
    gained anew in morning trade to Sing$0.61or Php15.50/share.

    The PSE lifted its suspension notice on Atlas Consolidated Mining and
    Development Corporation (AT) and Medco Holdings (MED) given its settlement of
    fines imposed.

    The PSE issued a suspension on Philippine National Construction Corporation
    (PNCC) given its non-compliance with the structural reportorial requirements.

    The PSE lifted its suspension notice on CMP Homes (CMP) after it submitted its
    FY1999 and 1Q2000 financial statements.

    PRICE SCAN: SMPH - share price recovered after a 6day decline to close at
    EBC - on an 11day uptrend to set a 26day high at Php50.0
    ICT - dropped to an 8yr low at 1.12 before closing unchanged at 1.16
    MPC - on a 7day trend decline at 0.62


    Music Corporation (MUSX). Music Corporation informed the PSE that it posted a
    loss of Php21.22m in the first three months of the year. Revenues for the first
    quarter increased 49% from Php156.7m to Php232.88m. Music's first quarter
    operating performance has long been reported to the market. We do not expect
    any valuation changes as most of the positive developments particularly its
    steady decline in operating losses have been factored into. MUSX was up Php0.1
    to Php5.30

    Meralco (MER/MERB). A handful of Meralco employees staged a labor strike last
    Friday demanding increased job security and benefits. The Department of Labor and Employment (DOLE) has already issued a return to work order last Saturday -
    July22nd. Meralco's efficiency thrust announced last year includes a programmed
    14% cut in workforce beginning 1999 by virtue of natural attrition and an offer
    for early retirement. We do not expect any violent or long labor-management
    dispute to affect operations. MERB was down Php0.5 to Php59.50

    Metro Pacific Corporation (MPC). MPC's bid for Lot A(2ha for office and
    entertainment), Lot B (8.54ha for hotel/condominium and museums) and Lot E (10ha
    information technology special economic zone) in Fort Bonifacio is under review
    and will likely be finalized by BCDA before end-August. So far, they are the
    sole bidder for Lot A and E while it is a joint bidder with SM Investment
    Corporation for Lot B. MPC was down Php0.02 to Php0.62

    Philippine National Bank (PNB). The Templeton Asset Management denied
    newsreports that it sold its 12% stake to Citigroup. PNB closed higher by Php2.0 at Php58.0


    La Tondena Distillers Inc. (LTDI). The company reported an 83% increase in net
    earnings of Php794m for the first six months of the year. Revenues for the
    period grew 39% from Php5.03b to Php7b. MARKET SCAN and PRICE ACTION.
    Indications from the first half report reflects an expected slowdown in profit
    growth from a 125% increase in 1Q2000 to 57% in 2Q2000. Revenue growth however
    continues to improve further from a 33% growth in 1Q2000 to 44.5% in 2Q2000.
    Details of the LTDI's operational progress will be reported tomorrow in its
    2Q2000 briefing. Market focus will be on a possible downward adjustment in
    sales volume growth target after the recent Luzon flooding and on the operating
    performance and outlook of its newly acquired subsidiary - Sugarland. Share price momentum is declining from overbought levels with significant room for
    the downturn. Key price support levels are at 32/30. A 3wave upmove scenario
    may have peaked at 35 which puts a risk for a downturn to test the 29/26 level
    over the medium-term. A more bullish 5wave scenario warrants a consolidative
    test with 29 as a firm support but with a possible upmove break of 35 with 38 as
    its minimum objective. LTDI remains a rated BUY unless operating signals from
    tomorrow's company briefing support a slower-than expected 2H2000 revenue

  • DAILODAILO Member PExer
    July 26, 2000 - Wednesday
    Philippine Composite Index: DOWN 3.27pts (-0.22%) at 1478.33


    Underlying bearish sentiment kept share prices lower despite overnight gains
    posted in Wall Street 0.14%) and Nasdaq (1.21%). Yesterday's 3.4% oil pump
    price hike and a new wave of regional currency weakness which pushed the peso
    exchange rate to a high of Php45.0575/USD in morning trade worsened investors

    Trade activity marginally improved to Php479.275m from yesterday's alarming
    trade of Php341.009m. The Phisix trended lower with today's range at +3.29pts /
    -5.99pts. Key indices were mixed as oil and mining shares gained while the C-I's, finance and property indices headed lower. The market had with 38
    gainers, 35 decliners and 47 unchanged stocks. Trade focus (most active stocks)
    were on ION, MBT, SLC, ABSP, SMCB, TEL, SMC, and MUSX which altogether
    accounted for 59.3% of total market turnover. ION and MBT accounted for 12.3%
    and 8.2%, respectively, of total market turnover.

    Positioning interest among index-linked issues were narrower as there were 7
    gainers, 7 decliners and 19 unchanged stocks. Index-linked heavyweights that
    declined were AC, TEL, MBT, SMPH, ABS, BPC and BEL. Gainers include TEL, FDC,
    ION, EBC, MER, LTDI and DMC.

    Net foreign selling were observed on MERB, SMPH, MBT, TEL, and ABSP.
    Investor's focus among secondliners were on MUSX, EBC, ION and BW.

    EDSA Properties Holdings Inc. (EPHI) informed the exchange that it passed the following resolution subject to shareholders approval:



    Kuok Philippine Properties, Inc. (KPP) informed the PSE that its Board passed
    the following resolutions:




    PRICE SCAN: ION - reached a 5month high at 14.50
    PCOR - on a 4day consecutive upmove from 1.18 to 1.30
    TEL - decline to 735 is a 34day low
    EBC - uptick continues for a 13day uptrend, setting a 28day high at Php52.50
    ABS - on a 12day trend decline to set a 27day record low
    ABSP - price downturn now on a 10day trend at Php47.50


    San Miguel Corporation (SMC). Indicative reports show a strong 2Q performance
    by SMC. Anxiety over potential revenue and sales target downgrade in 2H2000 due
    to the oil price hike and the flood damage remains unlikely as preliminary sales
    reports for the first week of July remains consistently strong. Key impact will
    be realized sometime mid-August. (SMC closed unchanged at Php51.0; SMCB closed
    unchanged at Php52.0

    SM Prime Holdings (SMPH) / Ayala Land Inc. (ALI) / Robinsons Land Corp (RLCB).
    Seventeen Congressmen filed a petition with the Supreme Court (SC) for the
    repeal of retail trade liberalization act given its violation of the
    constitution. Cited were violation on: a) preferential use of Filipino labor,
    b) preferential rights of operation of wholly owned Filipino enterprise, c)
    economic protectionism, d) and non-alienation of natural resources. (SMPH
    closed lower by 0.05 at Php4.95; ALI closed unchanged at Php5.5; RLCB was not traded at Php2.26)

    Petron Corporation (PCOR) Petron effected a Php0.55 oil price hike yesterday.
    PCOR closed Php0.06 higher at Php1.30

    Ayala Corporation (AC) / Globe Telecoms (GLO). Ayala Corporation announced its
    issance of Php2-3b worth of 5year notes to finance its capex program this year.
    AC will allocate Php15b of its Php20b programmed capex for Globe Telecom's
    technology investment. (AC declined by Php0.1 at Php6.50; GLO gained Php0.25 at


    La Tondena Distillers Inc. (LTDI). - up Php0.50 to Php32.50. Some highlights of LTDI's investor's briefing yesterday were:
    a. strong 1H sales volume growth: hard liquor at 18%, bottled water at 85% and
    14% for rtd juice
    b. hard liquor market share increased from 50% to 57%
    c. newest subsidiary - Sugarland is now the second biggest profit contributor
    with sales volume
    up 30%; and
    d. 1H sales grew 39% yoy to Php7b; operating income up 48% to Php1.5b and net
    income up
    83% at Php794m.
    MARKET SCAN and PRICE ACTION.Results were largely within market estimates.
    Market fear of a slowdown in 2H2000 sales were dismissed by Management as liquor
    sales remains favorable for the first two weeks of July. Its market penetration
    penetration strategy and its newly launched promo campaign (Ginebra Bingonaryo)
    was notably successful. The expected slowdown in profit growth (125% in 1Q to 57% in 2Q) was within market consensus and reasonable. Revenue growth was
    better than expected (up 44.5% in 2Q from 33% in 1Q). Net margins were
    effectively lower in 2Q but we do not expect further significant deterioration.
    Market watchers are not expected to downgrade its BUY rating on the stock based
    on the recent operating report. Price and momentum trend is declining bu
    momentum remains far from oversold status. Reversal signals are not evident
    which puts key price support at 30.50/29.0. Breakout wave trend from its recent
    high at 35 (key resistance) remains unlikely unless further lows are set.
    Medium-term target
    to approximate 37/42.

    Ionics Circuits Inc. (ION)- up Php1.0 to Php14.0. The Company reported it has
    finalized its search for investment partners for its manufacture of high
    precision injection molded engineering plastic products. Ionics formed a new
    subsidiary - I Omni with the following partners: Omni Mold Ltd. of Singapore, The Tech Group of US and ICC Ventures Inc. of the Philippines. I Omni's molded
    products will effectively increase local content of products manufactured by
    Ionics. Net impact is an increased margins from product orders and an expanded
    market given its expanded manufacturing capability. Marginal increase in profit
    target for 2001 and 2002 will likely be upgraded. MARKET SCAN and PRICE ACTION.
    Foreign buying was evident but today's volume were largely from local houses.
    Price momentum is toppish at current levels. Increased pressure for a price
    correction points to a price support at 13.50/11.75. Price-momentum divergence
    is getting more profound to warrant a sell on rally based on a trading action.
    Minor wave extension to 15.50 is possible.

  • DAILODAILO Member PExer
    July 27, 2000 - Thursday
    Philippine Composite Index: DOWN 29.43pts (-1.99%) at 1448.90


    Weaker peso, a slumping regional market performance and increased domestic
    ecopolitical worries resulted to another wave of a broad sell-off as none of the
    index-linked stocks posted a gain. Investor anxiety over domestic worries
    towards higher inflation, economic recession potential and a seemingly poor
    corporate profit outlook for 2H2000 are pushing investible funds away from the
    equity market.

    The peso exchange rate soared anew to a high of Php45.12/USD in morning trade
    despite the Central Bank's comment of a likely intervention.

    Trade activity reflected investor fears as turnover increased (at Php590.574m
    from Php479.275m yesterday) as prices trended lower. The Phisix stayed on
    negative territory dropping by as much as 32.95pts ir 2.23%. Key indices were
    mostly lower with only the oil index reflecting a minor gain. Sell-off was
    apparent as there were merely 10 gainers against 74 decliners and 31 unchanged
    stocks. Trade focus (most active stocks) were on TEL, BPI, BPC, SLC, MBT,
    ABSP, AC and SMCB which altogether accounted for 54.9% of total market turnover.
    TEL and BPI accounted for 9.83% and 9.7%, respectively, of total market

    Index-linked issues were heavily sold down as there were no gainers, 22
    decliners and 11 unchanged stocks. Index-linked heavyweights that heavily pulled
    down the index were TEL, ALI, AC, ABS, SMPH, EBC, and BPC. Top percentage decliners among index-linked stocks were: DGTL (-7%), FDC (-6%), AEV (-5%), FLI
    (-4.8%) and MEG (-3.5%).

    Net foreign selling were observed on TEL, BPI, MBT, ALI, GLO, BPC and EBC.

    PRICE SCAN: TEL - gap down today (720/735); low at 700 is a 46day low
    ALI - gap down today (5.40/5.50); low at 5.20 is a 37day low
    BPC - low at 3.95 is a 31day low
    BPI - low at 67 is a 22month low
    MBT - low at 164 is a 22month low
    AEV - low at 1.46 is a 16month low
    MEG - low at 0.82 is a 29day low on a 13day downtrend
    ABSP - gap down today (47.0/47.5)price downturn now on a 30day low at 45


    Globe Telecoms (GLO). The Company confirmed newsreports of its planned issuance
    of 12m philippine depositary receipts (PDR). Globe's PDR issuance has long
    been strategically announced by the company in its investor briefing last
    1Q2000. (GLO closed Php0.25 lower at Php15.25)

    JG Summit Holdings Inc. (JGS). JG Summit released to the PSE its confirmation
    of a news article citing JG Summit Chair J. Gokongwei of an estimated net profit
    of Php1b for the first six months of the year. Financial details are not yet
    available.(JGS closed Php0.10 lower at Php3.0)

    Digitel (DGTL). Digitel informed the PSE that preliminary estimates point to a
    net profit of slightly over Php2m in 1H2000. (DGTL closed Php0.05 lower at

    SM Prime Holdings (SMPH). Company officials commented that the newly passed
    retail trade liberalization act will benefit occupancy of its upcoming malls.
    Market fears of its negative impact on existing malls was downplayed since bulk
    of its existing malls are nearly at full occupancy rate. (SMPH closed lower by
    Php0.10 at Php4.85)


    San Miguel Corporation (SMC at Php51.0; SMCB at Php52.0). SMC released the
    following 1H2000 operating results this afternoon prior to its scheduled
    investor briefing: net profits increased 25.6% to Php3.4b; revenues increased
    13% to Php42.4b. (Details of the investor briefing will follow tomorrow) MARKET SCAN and PRICE ACTION. Preliminary review reflects operating results staying
    within market estimates. SMC's 2Q2000 performance reflected a surge in revenue
    (estimated at 17% from 8.7% in 1Q2000) and profit (27.3% in 2Q2000 vs 24% in
    1Q2000) growth. SMC officials are confident that they are on-line with their
    benchmark targets. Potential upgrade in earnings outlook is unlikely as its
    strong performance is within market expectations. Fundamental rating for SMC
    remains a LONG-TERM BUY. Underlying overhang comes from a perceived price
    inaction until the sale of 27% stake of the coco levy fund is completed. There
    are also lingering fears that a protracted agricultural sector growth in 2H2000
    may affect beverage sales. SMC's thrust on its organizational streamlining and
    synergies are unlikely to generate a huge bottomline impact this year. SMC's
    price range is relatively less volatile on perceived steady buying support from
    E. Cojuangco's group. Bulk or 53% of today's buying transaction came from UCPB
    and Merril. Price momentum is declining but entering oversold status. Key
    reversal signals have yet to be confirmed on further price upmove. Immediate price support (SMCB) is at 50.50/49.50 with 48.0 as its key support. So far,
    its key support at 48.0 seems firm and provides a perceived bottoming-out
    scenario near this level. Key resistance is at 54/56.

    Belle Corporation (BEL) - closed unchanged at Php0.95. Belle Corporation
    confirmed news reports that it is set to dispose non-productive assets,
    including its interest in MagiNet. MARKET SCAN and PRICE ACTION. Belle
    continues to suffer from the its huge loan buildup and a parallel property
    market slump since in 1997. Unprofitable investments in Philcom, Sinophil and
    Legend have forced the firm to move for debt restructuring given its outstanding
    liabilities amounting to Php18.95b as of 1Q2000. Bullish play on the issue
    given the rumored potential increase in board representation of SSS and Henry Sy
    and the programmed IPO of its jai-alai venture has hopelessly faded. Expected
    string of asset disposal is unlikely to regain interest on the stock as none of
    its core property business is likely to turnaround bottomline numbers. Highly leveraged firms and its core business focus in the property sector clearly puts
    Belle among the equity to avoid. Debt rehabilitation will definitely take a
    long time. Belle's shares are among the active speculative stocks this year
    given its price range of Php0.71-4.40. Momentum signals reflect no key reversal
    indication yet but a 3wave downmove scenario hints of a possible bottoming-out
    scenario. Key price support is at 0.90/0.82 with 0.71 likely as a firm bottom.
    Immediate price resistance is at 0.99 with 1.10/1.24 as its immediate fibonacci
    price target.

  • DAILODAILO Member PExer
    July 28, 2000 - Friday
    Philippine Composite Index: DOWN 11.82pts (-0.81%) at 1437.08


    Noticeable foreign selling on select index heavyweights and expectations of a
    likely disappointing 2Q2000 profit results on PLDT and Meralco further dragged
    the index lower. A slew of bearish factors gave investors certainty of index
    going south: a) the resurgence of the peso's weakness from yesterday
    afternoon's mild recovery further continues with peso dropping to Php44.99/USD
    from yesterday's close at Php44.875/USD, and b) reeling regional market weakness
    continues with HSI down 1.9% at midday.

    Increased trade activity as share prices further dip confirms investor's lingering fears. Trade value turnover increased to Php713.264m from
    Php590.574m yesterday. The Phisix opened 3.6pts lower and fell to as much as
    18.73pts or 1.29% before staging a mild recovery toward the session's end. Key
    indices were mostly lower with only the mining index staying positive.
    Decliners continue to swamp gainers 27:42 with 38 unchanged stocks. Trade focus
    (most active stocks) were on PNB, TEL, MBT, and ABSP which altogether accounted
    for 58.7% of total market turnover. PNB and TEL accounted for 29.1% and 16.3%,
    respectively, of total market turnover.

    Foreign selling on PNB took centerstage with ING as net seller and accounted
    for 81% of today's transaction. Market speculation points to the disgruntled
    Templeton Asset Management as the likely seller. With Templeton holding a 12%
    stake, local players joined the sell-down on expectation that PNB's share price
    may dive further as the sell-down may take several weeks to complete.

    Sell-off pressure among index-linked issues marginally eased from yesterday's
    surprising no gainers as there 4 gainers, 15 decliners and 14 unchanged stocks.
    Index-linked heavyweights that gained were AC, SMPH, ABS and MEG. Decliners
    were TEL, PNB, ALI, MERB and MBT. Top percentage decliners among active
    index-linked stocks were PNB (19.3%) and TEL (2.8%).

    Net foreign selling were observed on PNB, TEL, BPI, ALI, SMPH, FLI and BPC.

    PRICE SCAN: PNB - gap down on open at 59.50/59.0
    TEL - 2nd consecutive gap down today (710/700); low at 685 is a 47day low
    BPI - low at 66.5 is a new 22month low
    MBT - low at 161 is a new 22month low
    ICT - record low set at 1.08 since the IPO week in 1992 with 1.03 as the
    all-time low
    FLI - gap down at 1.60/1.56 on open with its intraday low at 1.52 at a 39day

    Imperial Resources Inc. (IMP) announced its first venture into information
    technology with itsh acquisition of a majority stake in Web Link Phils. Inc. via
    a share swap. Web Link is a noted pioneer in IT based in Davao City but has
    since expanded to include key major cities including Manila.

    The PSE announced that Belle Corporation complied settled its penalties with
    PSE and will therefore not be suspended on Monday.

    Business news reports cited Benpres Corporation for its planned US$700m fund
    raising program for its mobile, toll road, power generation and water distribution expansion plans over the next two years.


    Philweb Inc. (WEB) reported that 260 participants attended its first ever
    E-business symposium. Highlight of Philweb's business symposium was the signing
    of a 10,000 computer unit supply agreement with IBM Philippines. The computers
    are intended for the 1,450 internet caf. sites that is due to be established


    Meralco (MER/MERB) - MERB was down Php1.50 at Php59.50. Meralco reported that
    1H electricity sales increased 8.3% with residential at 11%, commercial at 8.4%
    and industrial at 4.9%. MARKET SCAN and PRICE ACTION. The 1H2000 sales report reflects a slowdown in electricity sales in 2Q which is slightly below market
    estimates. The effective 2Q2000 sales reflects a decline of 7.3% from 9.3% in
    1Q2000. It is quite alarming for our 2H2000 outlook since industrial sales and
    commercial sales registered a slowdown. Since Meralco posted a 27% profit
    decline in 1Q2000 on higher electricity sales, it is rationale to anticipate a
    disappointing 2Q2000 profit report. Major brokerage houses are therefore likely
    to downgrade its profit target. Price momentum is declining with immediate
    price support at 59.0 with next key support price at 56.0. Risk at 56.0 is open
    but expect a bottoming-out trend over the near-term given an existing
    price-momentum divergence signal. Immediate resistance is at 62.0/65.0.
    Downward channel remains intact with the trend break at 62.0.

    Global Equities Inc. (GEI) - down Php0.15 to Php0.38. GEI disclosed its 3way
    partnership with Systems Standards, Inc. (SSI) and Systems Technology Institute
    (STI) via a swap of 60% of GEI to the 100% of SSI/STI. SSI is an IT solutions provider with a recorded asset size of Php235m and Php14.2m in profits for the
    first 3months of the year. STI is one of the country's leading IT school with
    an asset size of Php514m
    and Php65m in net profits for the first 3months of the year. MARKET SCAN and
    PRICE ACTION. Market rumors proved to be true but the resulting market sell-off
    on news today was quite surprising. We may attest the sell-off given the
    market's overal weakness. Initial financial details warrants a second look.
    The combined asset size of GEI (Php2.85b) with SSI (Php235.16m) and STI
    (Php513.887m) amounts to approximately a Php3.6b holding firm. Based on SSI and
    STI's equity size of Php470m, the deal equates GEI giving up 60% stake for an
    effective equity contribution of merely 25.8% of the total or a 132% premium
    unless otherwise an equity revaluation or capital hike is due prior to the
    stockholders approval. We are therefore looking forward to get further details
    of the 3way deal which will likely be released prior to its September 8th
    stockholders meeting. GEI remains rated SPECULATIVE until further release of financial details. Broadly taken, IT ventures are really demanding an
    exhorbitant premium vis-a-vis old economy firms. Several issues now befall GEI
    that will attract investor action: a) entry to the IT category or the new
    economy, b) new partners are profitable (SSI and STI registered profits of
    Php14m and Php64m, respectively in the past year) which will negate GEI's
    current non-profitable property-based operations, and c) valuations are
    attractive given the significant rise GEI's effective book value. Speculations
    on GEI's entry to the IT field pushed share prices to a high of Php1.34 early
    this year which is approximately 2x is original book value. GEI's oversold
    momentum status and its hefty 91% technical price retracement at 0.37 heightens
    pressure for a recovery. With near-term risk satisfied we are now in search for
    a potential price consolidation buildup for a renewed rally. Recent violent
    downturn however makes it too premature to justify a bullish posture. Key
    support levels are at 0.37/0.28 with key upmove breakout to be confirmed at 0.50
    with 0.69 as its intermediate target. Upmove extension at 0.85 points to a medium-term upmove objective at 1.04. Our broker scan show that today's huge
    seller was not among the major buyers the past two months where the moving
    average is pegged at 0.68. Lack of follow-through selling on heavy volume over
    the next few days can therefore spark a volatile rally.

  • DAILODAILO Member PExer
    Ayala and MeetChina.com discuss Philippine portal

    B2B e-commerce platform MeetChina.com and iAyala, the internet holding company of Ayala Corporation of the Philippines have agreed to study the feasibility of launching a MeetPhilippines.com website to enable buyers to source and purchase raw materials and finished products from Philippine-based companies. The Ayala Group is the Philippines most diversified conglomerate.

    If launched, the site would be San Francisco-based MeetChina.com’s first venture outside China.

    iAyala has access to millions of Philippine consumers and suppliers through its parent’s subsidiaries and affiliates which include the Bank of the Philippine Islands, Ayala Land, Globe Telecom and Purefoods.
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  • DAILODAILO Member PExer
    Manila shares outlook: Mixed to lower amid lack of positive leads

    MANILA (AFX-ASIA) - Share prices are expected to open mixed to lower amid a lack of fresh positive domestic leads, with investors seen awaiting a cue from other regional markets, dealers said.

    They said losses are likely to be limited, however, by the market's oversold condition.

    The composite index closed down 11.82 points at 1,437.08 on Friday.

    Wise Securities Inc analyst Jose Vistan Jr said the Tokyo market's weaker opening this morning could dampen buying interest in the local market.

    "The weak opening of the Japanese market could stall any technical rally, " Vistan said.

    "The lack of domestic leads will prompt the market to seek direction from other Asian markets. In this case, we see the market moving sideways to lower, " he said, adding that he expects the volume to remain weak.

    Vistan said the stronger performance of some corporates, particularly San Miguel Corp, has been largely discounted, and is not expected to support the market.

    Anscor-Hagedorn Securities analyst Aaron Genota said the market is likely to move sideways with a bias towards the 1,400-point level.

    "Save for technical reasons, there is yet no compelling reason why the market should start heading in the reverse direction," Genota said.

    He said investors are likely to look for more signs that the manufacturing sector is beginning to pick up.

    "Apart from low consumer confidence, what's more problematic is eroding investor confidence," he added.

  • DAILODAILO Member PExer
    July 31, 2000 - Monday
    Philippine Composite Index: DOWN 19.98pts (-1.38%) at 1417.17


    Bearish news on all major market drivers: 1) weak 2Q2000 corporate earnings
    release, 2) the drop in US and Asian equity markets, 3) the peso's steady
    decline, and 4) an indicatively large flows of foreign sell orders on major
    blue-chip issues. All shares index outpaced the Phisix as it dropped 1.6%!
    Market fears intensified on worsening investment climate outlook which imprints
    a view that the index can easily go lower than our recent market bottom set last
    May (1376) - a nearterm benchmark for market sentiment after the release of
    disappointing 1Q2000 corporate performance. Lack of investment market
    confidence are clearly pushing sellers to be more aggressive as buyers continue to remain selective and unassuming.

    The peso weakened to Php45.075/USD during the morning trade session from
    Friday's close at Php44.86/USD

    The observed growing fears from last week's increased trade activity as share
    prices further dip. Trade value turnover increased to Php1.373b but with
    transaction crosses of Php885m on EPHI and Php79.6m for DMCP. Excluding EPHI
    and DMCP transaction, net trade turnover is effectively Php408.4m which clearly
    keeps bargain-hunters sidelined on expectation of likely further price weakness
    despite attractive valuations.

    The Phisix trended lower at its intraday range of +132pts / -23.38pts. Key
    indices were mostly lower with only the oil index staying unchanged. Decliners
    continue to swamp gainers 65:19 with 32 unchanged stocks. Trade focus (most active stocks) were on EPHI, TEL, DMCP, SMCB, MBT, and MERB. EPHI accounted for
    total market turnover on trade crosses related to its acquisition of a 23% stake
    in KSA Realty Corporation. The effective foreign investor sell-off on key
    blue-chip issues continues as there were mere 4 gainers, 19 decliners and 10
    unchanged stocks. Index-linked heavyweights that gained were MBT, BPC, ICT and
    LND which were largely attributed to domestic buying. Decliners were TEL, AC,
    EBC, ALI, MER, MERB, SMC and SMCB. Top percentage decliners among active
    index-linked stocks were TEL (-2.9%), EBC (-2.9%), MERB (-2.5%) and BPI (-2.2%).

    Net foreign selling were observed on TEL, SMCB, MERB, AC, BPI, SMPH, ALI.

    PRICE SCAN: TEL - 3rd consecutive gap down today (690/680); low at 660 is a
    5.5yr low
    BPI - low at 65.5 is a new 22month low
    WEB - low at 0.0975 is a 25week low
    PLTL - new record low set at 0.88
    GEI - 7week low set at 0.37

    The PSE lifted the likely trade suspension warning on MRC, SINO and PMT on
    compliance of PSE reportorial requirements and settlement of penalty fees.

    LATE NEWS: TBill Auction Results: 91day - up at 8.925% from 8.919%
    182day- unchanged at 10.0%
    364day - up at 11.176% from 11.01%


    Digital Telecom Phils. (DGTL). Digitel Chair J. Gokongwei is keen towards
    taking full control of Eastern Telecommunications Phils. Inc. (ETPI). Digitel
    expects to complete its buyout for majority control by August 2000. (DGTL was
    unchanged at Php0.64)

    Equitable Bank Corporation (EBC). EBC officials confirmed ongoing talks for a
    potential sale of 6% to 20% stake of the bank to a Taiwanese bank. (EBC was
    down Php1.50 at Php50.0)

    JG Summit Holdings Inc. (JGS). The Gokongwei group maintains firm interest to
    participate in the government's bid to dispose its 89% stake in PNCC for
    approximately Php30b. (JGS was down Php0.10 at Php2.90)

    Petron Corporation (PCOR) - Petron announced plans to issue US$120m 3year notes
    to finance its capital expenditure program. Current market estimates point to a
    rate of 110 basis points higher than LIBOR. (PCOR was unchanged at Php1.24)

    Mondragon (MON). A business daily cited the removal of J.A. Gonzales as chair
    of Mondragon with ex Finex president J. Camba as the likely replacement as
    endorsed by the PentaCapital Group. (MON declined Php0.03 at Php0.69)

    Metrobank (MBT). Metrobank posted a 28% decline in net profits for the first
    six months at Php1.4b. MBT's 2Q2000 profits declined 47% yoy to Php535m. Lower
    margins and the expected one-off integration costs will result to a lower
    rerating. Metrobank officials however dismissed market risk estimate of profits
    of merely Php2b this year as realistically low! On the other hand, MBT's
    separation package for Solidbank employees was one month for every year of service for those that will be absorbed by Metrobank, and 1.5months for
    employees that will not be absorbed. The package is cost positive for MBT given
    initial rumors of a 3months for every year of service. (MBT was up Php3.0 at

    Global Equities Inc. (GEI). GEI Chair Nora Bitong indicated the following to a
    major business daily: 1) a change of corporate name is due to reflect its new
    IT partners, 2) GEI will invest Php200m in the IT venture, and 3) a capital hike
    will be due with a rights offer at par of Php1/share. (GEI was unchanged at

    RFM Corporation (RFM). RFM reported a net loss of Php9m for 2Q2000 on sales
    growth of 7.4% at Php3.9b.
    This is a disappointing operating results from a Php60m profit in 1Q2000. (RFM
    was down Php0.10 at Php1.90)


    Jollibee Foods Corporation (JFC). JFC reported a 1.5% yoy drop in profits for
    the first half of Y2000. Operating costs and expenses outpaced revenue growth
    18.4% versus 16.5% s for the period. MARKET SCAN and PRICE ACTION. JFC's
    1H2000 financial results translates to an improved 2Q2000 performance but is
    generally within market estimates. JFC's 2Q2000 revenues were higher given the
    price adjustment. 2Q profits increased 1.9% yoy as against a 5% decline in
    1Q2000. The improvement is largely due to the contribution of Chowking in its
    bottomline numbers. However, Chowking's revenue growth slowed down from 15% in
    April to merely 10% by end-June. Pizza chain affiliate - Greenwich Pizza Corp
    (GPC) posted a faster decline in revenue growth from a 5.5% decline in 1Q% to
    12.% by 2Q2000. The economic slump is effectively pulling fastfood revenues lower as personal consumption and spending declines. However, JFC's dominant
    consumer play, a proven brand, low leverage and continued expansion plans
    warrants a HOLD. We do not expect a sizeable profit adjustments given the
    2Q2000 performance and the 2H2000 consumer risks. Price momentum is declining
    with key support viewed at 11.0 /10.0. Further price weakness is expected as
    momentum signals remains at neutral level and has a lot of downside to reflect a
    recovery. Immediate resistance at 12.25 with breakout trend at 13.50. Reassess
    entry targets and indicators on a downmove below 11.0.

    Meralco (MER/MERB) - Meralco released its 1H2000 financial report with the
    following highlights: a) revenues up 15.9%, operating expense was up 17.3%,
    operating income declined 4% to Php2.45b, and profits down by 7.7% at Php1.77b.
    MARKET SCAN and PRICE ACTION. The 1H2000 financials reflects better
    profitability in 2Q2000 although electricity sales growth was lower than
    market's general estimate. Recommended rating remains a LONGTERM BUY. Expect Meralco to revive its petition for a rate adjustment. Albeit unpopular, WB-IMF
    can pressure the government to grant the increase prior to releasing the
    country's loan program. This can provide price support and potentially rebuild
    interest given its favored utility rating. Price momentum is declining with key
    support price at 56.0 (from its recent break of price support at 59). Risk at
    56.0 is open but expect a bottoming-out trend over the near-term given an
    existing price-momentum divergence signal. Immediate resistance is at
    62.0/65.0. Downward channel remains intact with the trend break at 62.0.

  • DAILODAILO Member PExer
    August 1, 2000 - Tuesday
    Philippine Composite Index: DOWN 6.84pts (-0.48%) at 1410.33


    Skittish market with overhelming bearish sentiment continues to drive share
    prices lower. The market shrugged-off the peso's mild recovery to Php44.72
    during the morning trade session from Monday's close at Php44.835/USD. Key
    market fears is the observed net selling of major foreign brokers which keeps
    buyers sidelined until the downtrend pattern bottoms-out.

    The sell-off trend on gradual rise in trade activity continued with value
    turnover at Php543m from net trade turnover (ex-cross transaction) of Php408.4m
    the previous day.

    The Phisix continued to test lower levels at its intraday range of +2.09pts /
    -10.26pts. Decliners still outpaced gainers 53:18 with 47 unchanged stocks.
    Trade focus (most active stocks) were on TEL, ABSP, MERB, EBC, MBT, JGS and BPI.
    TEL accounted for 24.97% of total turnover. The market's overall weakness
    reflects a selective positioning among blue-chip issues which resulted to 6
    gainers, 14 decliners and 13 unchanged stocks. Index-linked heavyweights that
    gained were TEL, MPC, PNB, DGTL, LND and BEL. Decliners were MBT, SMPH, JGS,
    ABS, MER, BPC and MERB. Top percentage decliners among index-linked stocks were
    ICT (-5.4%), JGS (-5.2%), FLI (-2.6%) and CMP (-2.6%).

    Net foreign selling were observed on FLI, BPC, SMPH, MERB, BPI, and ABSP.

    PRICE SCAN: BPI - low at 63.0 is a new 22month low
    MERB - low at 57.0 is a 9week low
    GEI - 15week low set at 0.29
    JGS - gap down at 2.85/2.90; low at 2.75 is a 14month low
    BW - low at 4.05 is a 10week low
    SGI - low at 0.90 is a one year low
    FLI - gap down on open at 1.54/1.52; low at 1.48 is a 7week low

    LATE NEWS: 7 Year Tnote yield at 14.25% from 14.0% last July 11th


    Uniwide Holdings Inc. (UW) Trade Secretary M. Roxas mentioned in his talk with
    select US businessmen the likely completion of the entry of Casino
    Guichard-Perrachon as a strategic partner of Uniwide over a month or so. This adds to the market belief that the rehabilitation program of Uniwide is
    progressing well for target completion before end-August. (UW closed Php0.02
    lower at Php0.43)

    Petron Corporation (PCOR) / First Philippine Holdings Corporation (FPH).
    Petron announced the postponement of the construction of its US$1.2b 225mw
    coke-fired plant in Bataan. The postponement effectively reduces a sizeable
    contract from project builder - First Philippine Holdings Corporation. (PCOR
    was unchanged at Php1.24 / FPH was unchanged at Php20.25)


    Benpres Corporation (BPC) - down Php0.10 to Php3.90). Benpres announced its
    Php600m capex for the network upgrade of SkyVision who offers the ZPDee cable
    internet. The announcement comes as a follow-up development of its recent jointventure with Yes Television of UK to provide video-on-deman service.
    MARKET SCAN and PRICE ACTION. Investor's favorable review on BPC's e-business
    ventures are not enough to curtail losses of its telecom affiliate - Bayantel.
    Focus of disinterest on the stock comes from Bayantel's leverage problem and its
    firm plans to operate a digital cellular business. BPC's leverage problem is
    unlikely to be resolved soon and a wait-and-see is directed towards its search
    for a strategic partner that will help both on the financial and the technology
    support of its telecom/e-business ventures. Foreign selling led by CLSA and ABN
    continues while Merril is the top buyer for the past month. BPC's strategic
    investments in FPH and Meralco warrants a LONG TERM BUY on the stock. However,
    old economy plays points to a preferred holding on Meralco and FPH. However, we
    see no significant buildup of an ecommerce play for BPC as several other small
    cap stocks with ebusiness ventures will gain more focus. Recent price trend
    still holds a bullish trend from its record low at 3.55 last 5/2000. Current
    trend is a bearish wave2 coming from its recent high at 4.65 with key support at 3.80. No reversal signals for a renewed test of 4.65 is apparent but its
    recent low at 3.55 seems a firm bottom. Momentum signals are oversold awaiting
    divergence signals to confirm a recovery. Downchannel price pattern will
    reflect a breakout at 4.0 with 4.30/4.35 as the immediate target. Trading
    interest to accumulate for the next primary bull wave has been triggered as
    wave2 correction has achieved key price support and fibonacci price targets.
    Current price levels offers a low risk buy.

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