Philippine bourse rallies as investors optimistic on local economic growth

Investors remained optimistic on the growth of the local economy, sending the Philippine stock market higher on Tuesday.

The bellwether Philippine Stock Exchange index rose by 0.26 percent or 17.44 points to 6,784.95, while the broader all-share index added 0.27 percent or 11.14 points to 4,074.91.

Trading volume reached 1.02 billion shares worth 10.35 billion pesos (232.63 million U.S. dollars) with 107 stocks advancing, 77 declining and 33 unchanged.

Of the six counters, only the property sector bucked the trend.

"Attempts to rally past 6,800 might highlight (succeeding) trades, riding on positive expectations from the central bank for another credit rating upgrade," 2TradeAsia.com said in its daily stock market comment.

The brokerage warned however that investors should be cautious in investing heavily given the market's rallies for the past sessions and especially after possibilities of a slowing China gross domestic product growth and Ukraine tensions.

The brokerage also added that some companies might also report slower growth for 2014 and this should make investors wary of being too optimistic.

"Immediate support is at 6,700, while resistance is pegged at 6, 800," 2TradeAsia.com said.

Stocks in the 30-company index closed mixed. Among those sold down were Ayala Land, Inc., heavyweight Philippine Long Distance Telephone Co., and SM Prime Holdings, Inc.