Local stocks rise despite US-China trade tensions

May 30, 2019 | 9:00 pm

LOCAL STOCKS continued to climb on Thursday as investors brushed off ongoing developments in the US-China trade war.

The 30-member Philippine Stock Exchange index (PSEi) gained 38.80 points or 0.49% to close at 7,836.55 yesterday. The broader all-shares index was also up by 17.27 points or 0.35% to finish at 4,822.06.

“Our index closed positive today after the banking, services, and industrial sector lifted the PSEi due to strong foreign buying activity. Despite the threat that China might use rare earth exports as weapons against the US, our market defied these news and still closed by 38 points today,” Jervin S. de Celis, equity trader at the Timson Securities, Inc., said on Thursday.

“US-China trade tensions continue to weigh on stocks after Chinese state media reports underlined the country’s scope to use rare-earth minerals, used in the production of an array of devices such as mobile phones, computer memory chips and rechargeable batteries, as an economic weapon,” Luis A. Limlingan, head of sales of Regina Capital Development Corp., said in a mobile phone message.

US companies are years away from challenging Chinese dominance of rare earth minerals due to a lack of domestic processing facilities, ensuring the Asian nation will maintain its near-monopoly on refining and powerful leverage in trade talks.

In an escalation of the trade conflict between the two countries, state media on Wednesday implied China could restrict rare earth sales to the United States, stoking fears about Beijing’s role as a supplier.

The US has excluded Chinese rare earth imports from recent tariff hikes, along with some other critical Chinese minerals. China, however, has raised tariffs on imports of US rare earth metal ores from 10% to 25%, making it less economical to process the material in China.

US stocks fell on Wednesday, as worries that a lengthy US-China trade war would crimp global growth pushed investors into the safety of government bonds.

Back home, sub-sectors were split. Gainers were led by industrials, which went up 154.53 points or 1.36% to 11,438.51. This was followed by financials, which climbed 24.38 points or 1.44% to 1,717.41. Services also gained 9.15 points or 0.55% to 1,661.87.

Meanwhile, the property sub-index shed 8.56 points or 0.2% to 4,229.25; mining and oil went down 8.43 points or 0.11% to 7,132.22; and holding firms dropped 1.23 points or 0.01% to 7.463.72.

Some 694.77 million issues valued at P6.57 billion switched hands on Thursday, slightly lower than the previous session’s P6.11 billion.

Meanwhile, foreigners turned net buyers yesterday after several sessions of outflows, logging a net inflow of P392.50 million versus Wednesday’s net sales worth P304.87 million.

Advancers also beat losers, 97 to 80, while 53 names closed unchanged yesterday. — Vincent Mariel P. Galang with Reuters

DFA chief: Canada trash shipped out of PHL

May 30, 2019 | 8:48 pm

By Charmaine A. Tadalan
and Vincent Mariel P. Galang, Reporters

THE shipment of all 69 waste containers back to Canada has pushed through, with the Canadian government shouldering some P10 million in shipment costs.

“ICTSI waived all costs on land; Canada picked up the tab from fumigation to ship side loading, to tomorrow’s departure-including helping get foreign permits for transshipment so ship’s captain will depart (with stops) all the way to Canada,” Foreign Affairs Secretary Teodoro L. Locsin said in a social media post, Thursday.

The shipment of the waste containers, which had been in the Philippines for six years, was accomplished with the joint effort of the Department of Environment and Natural Resources, Embassy of Canada in the Philippines, an the ICTSI.

“After containers cleaned & ready to go ship arrival was delayed a day; Ricky Razon made sure once docked ship loaded. Cimatu up early begged for foreign transshipment permits. Canada Amb. Holmes never slept ‘til it all got done,” Mr. Locsin said.

Secretary Menardo I. Guevarra said in a mobile phone message to reporters, Wednesday, the Canadian government covered an estimated “P10 million” for the shipment of the trash back to Vancouver. Mr. Guevarra is standing as Officer-in-Charge, while President Rodrigo R. Duterte is in a 4-day state visit in Japan.

President Duterte on April 23 threatened to wage war against Canada if the waste containers remained in the country. He had also given a directive that the containers must be shipped out by May 15, which the Canadian government failed to meet.

This prompted the Department of Foreign Affairs to recall its diplomats in Canada and later the Office of the President to issue a memorandum directing government officials to prevent holding official trips to Canada.

Senator Loren B. Legarda, for her part as chair of the committee on foreign relations, commended President Duterte’s “political will.”

“I’m glad that years later this is happening now. It’s the strong political will of the President, just like Boracay, is an example of strong political will,” the Senator said in a briefing, Thursday.

She said she hopes the Philippines’ relations with the Canadian government would eventually normalize, in consideration also of the Filipino migrants there.

“I hope so because Canada is home to many Filipino migrants, we also have an economic diplomacy with Canada, I hope the ties and relations will normalize. After the trash issue is settled I’m sure there will be talks, I leave it to DFA Locsin to do that.”

BASEL BAN
Environmental groups, for their part, urged the Philippine government to ban all waste imports in the country and to endorse the Basel Ban Amendment.

“Local NGO (non-government organizations) groups, including Ecowaste Coalition, Greenpeace Philippines, Global Alliance for Incinerator Alternatives, BAN Toxics, and the global Break Free from Plastic movement, reiterated the call for the Philippine government to ratify the Basel Ban Amendment, which prohibits the import of all waste for any reason, including ‘recycling,’” Greenpeace said in a statement on Thursday.

The amendment contains the regulation of transfer of hazardous wastes from one country to another, and prohibits developed countries from exporting hazardous wastes to developing ones.

“The groups are also calling on the Philippine government to ban all waste shipments from entering the Philippines, and to stand up for Philippine sovereignty by telling developed countries that the Philippines is not a garbage dump,” the statement read in part.

“While the return of Canada’s waste is a positive development, only a little more than half (69 containers) of the original waste is being shipped back; 26 containers were already landfilled in the Philippines at the time when Canada disowned responsibility for the shipment; the other eight containers were also disposed of locally,” it said.

Other shipments to the Philippines containing garbage are from South Korea (October 2018), part of which were returned in January this year, while the remaining 5,176.9 metric tons (MT) are still in Misamis, Oriental.

In May, waste from Australia and HongKong were discovered at the Mindanao Container Terminal.

These waste importations to Southeast Asian countries started after China stopped accepting such shipments in January last year. A Greenpeace report noted that majority of mixed recyclable plastics that were meant to be shipped to China had been redirected to countries with weak environmental regulations.

Duterte OK’s auction of Marcos jewelry

May 30, 2019 | 8:47 pm

PRESIDENT Rodrigo R. Duterte has approved the sale of the jewelry collection seized from former first lady and now Ilocos Norte-2^nd district Rep. Imelda R. Marcos.

Presidential Spokesperson Salvador S. Panelo said in a media interview in Tokyo on Thursday, “Sabi ni Presidente kagabi, gusto niya na makinabang ang mga taong-bayan du’n sa mga jewelr(y). So tinanong ko siya, are you going to give your go signal to sell? Yes. Basta ang kailangan makarating sa taong-bayan ‘yung sale, ‘yung proceeds (The President said last night that he wants the people to benefit from the (sale of the) jewelr[y]. So I asked him, are you going to give your go signal to sell? Yes. For as long as the proceeds will go to the people).”

Asked when the President will issue an order on the sale of the jewelry, Mr. Panelo said: “Depende na sa kanya (it is up to him). Basta (It’s enough that) he agrees with it.”

Accompanied by at least 16 Cabinet officials, Mr. Duterte is in Japan until May 31 partly for the Nikkei 25^th International Conference on the Future of Asia.

Sought for comment, Executive Secretary Salvador C. Medialdea told BusinessWorld in a phone message: “The Office of the President sees no legal impediment to the disposition of the Marcos Jewelry Collections, this being within the prerogative of the PCGG (Presidential Commission on Good Government).”

He added: “Nonetheless, considering the value and circumstances surrounding the subject items, this Office understands and appreciates why PCGG sought the President’s guidance on the matter, and for this reason we have elevated the matter to the President himself. We shall update the public on the President’s decision once he issues it.”— Arjay L. Balinbin, with reports by Alexis B. Romero of the Philippine Star

Analysts: Duterte’s health a ‘lesson’ for next gov’t

May 30, 2019 | 8:46 pm

By Arjay L. Balinbin, Reporter

CONTINUED public speculations regarding the health of President Rodrigo R. Duterte, triggered by Malacañang’s handling of this matter, is an important “lesson” for the next administration, analysts sought for comment said.

At least three analysts were asked what potential lessons could be considered by the next administration from how Mr. Duterte and his men are handling rumors regarding his health, which have been recurring since the 2016 presidential campaign.

In an emailed reply to questions on Tuesday, lawyer and Ateneo Policy Center research fellow Michael Henry Ll. Yusingco said that his advice would be “to be honest and practical.”

“Do not pretend [that] people cannot see what is really happening to the President. The public knows the real score and it does not help to lie to them. Filipinos will understand that the President can rest and recover if he is sick. They will be especially be forgiving to a very popular one,” Mr. Yusingco said.

For her part, University of the Philippines (UP) political science professor Maria Ela L. Atienza said in an email on Monday: “I think it is important to be honest with the people about the health condition…of the President. At least, people will not speculate when they know what is the actual situation.”

Also sought for comment, UP Political Science assistant professor Perlita M. Frago-Marasigan said via chat on Monday that the Palace’s “strategy has always been to evade the issue or to spin a story.”

“Since the position is an office that emanates from trust, it should start from there,” she added.

Another lesson, according to Mr. Yusingco, is to “obey the constitutional prescription strictly.”

“Do not circumvent this by equivocating on what ‘serious illness’ really means. Be loyal to the principle behind the provision which is the right of the people to know the health of their President,” he said, referring to Article VII, Section 12 of the 1987 Constitution which states: “In case of serious illness of the President, the public shall be informed of the state of his health.”

“Being open and honest about this matter will bring the people to your side. The sympathy of the Filipino public cannot be underestimated,” he added.

Mr. Duterte was visibly not well and skipped some of the traditional ceremonies during the commencement exercises of the Philippine Military Academy last Sunday, but his spokesperson Salvador S. Panelo dismissed this saying the President simply “lacked sleep.”

In his speech at the Palace on Monday, Mr. Duterte said that he has “all” sorts of illnesses, including “in the colon.”

Ms. Atienza said, “It seems [that] the people around the President do not want to give details [regarding his health] because there appears to be a feeling of insecurity among [them] of what will happen should people know that he is sick.”

“While he is still enjoying high popularity and trust rating, some allies might withdraw support if they feel that the President is ill and will not be able to perform his duties. The President’s people may also be wary of giving the Vice President, who constitutionally can be delegated powers and should be ready to assume responsibilities if the President is unable to perform his duties, as she is not considered an ally,” she added.

For her part, Ms. Frago-Marasigan said: “The best way to handle this situation is just to be transparent about it. Presidents owe that to the people.”

SC grants writ for amparo, habeas data for rights groups

May 30, 2019 | 8:45 pm

THE Supreme Court (SC) has granted a writ for amparo and habeas data in favor of human rights groups for their protection against alleged attacks and red-tagging by the government.

In a seven-page resolution, the SC directed the Court of Appeals to hear the petition of Karapatan Alliance Philippines, Inc., Rural Missionaries of the Philippines, Inc. and General Assembly of Women for Reforms, Integrity, Equality, Leadership and Action (Gabriela), Inc. on June 18, as well as issue writs of amparo and habeas data and resolve the petition’s merits within 10 days after it was submitted for resolution.

The SC also required the respondents to file their comment on or before June 13, 2019.

The respondents of the case include President Rodrigo R. Duterte, Defense Secretary Delfin N. Lorenzana, National Security Adviser Ret. Gen. Hermogenes C. Esperon, Jr., and Armed Forces of the Philippines Chief-of-Staff Gen. Benjamin R. Madrigal, Jr., and other government officials.

The groups filed their petition for writ of amparo and habeas data on May 6 following their allegations of threats, harassment, and “red-tagging” by government forces.

The writ of amparo is a remedy available to anyone whose right to life, liberty, and security is violated or threatened with violation by an unlawful act or omission by a public official or employee.

Human rights groups also sought the issuance of habeas data which would order the government to destroy all information gathered against them.

In their petition, they claimed that red-tagging and terrorist labelling” of their organizations have worsened and become “more systematic” with the issuance of Executive Order No. 70 in December 2018 which formed the National Task Force to End Local Communist Armed Conflict (NTF). — Vann Marlo M. Villegas

Police encourages students to report cyberbullying

May 30, 2019 | 8:45 pm

THE PHILIPPINE National Police (PNP) said cyberspace is emerging as a new venue for bullying, with students comprising most of the victims in reported cases. “Ito ngayon ang pinaka common na form of bullying sa ating mga kabataan (This is the most common form of bullying among the youth nowadays),” said PNP Spokesperson Col. Bernard M. Banac in a press briefing at Camp Crame on Thursday, May 30. The police recorded 22 cases of cyberbullying from 2017 to March 2019, with two so far this year. Mr. Banac encouraged the young to immediately report such cases and any form of bullying. He said, “Napakahalaga po na kaagad ito ay mai-report sa ating pulis para agad maimbestigahan at ‘yung mga suspects ay mahuli natin (It’s very important that these are reported immediately to the police, so we can investigate and catch the suspects).” The PNP will be deploying around 120,000 policemen in public schools nationwide for the opening of classes on June 3. — Vince Angelo C. Ferreras

Road closures in Makati on May 31 for Flores de Mayo

May 30, 2019 | 8:41 pm

SEVERAL ROADS in Makati City will be closed on Friday, May 31, from 1 to 7 p.m. to give way to the annual Flores de Mayo parade. which will start from the city hall quadrangle leading to the Globe Circuit Events Grounds. The route will cover Hormiga Street, Trabajo Street, Hippodromo Street, and A.P. Reyes Street. The Makati City government said traffic enforcers will be deployed to guide motorists on rerouting schemes along N. Garcia Street and a stop-and-go scheme along A.P. Reyes Street.

Kennon, 2 other road sections in CAR closed

May 30, 2019 | 8:40 pm

KENNON ROAD, one of the routes going to mountain city destination Baguio, is closed due to a rock slide in one area, the Department of Public Works and Highways (DPWH) announced on Thursday. While clearing operations are ongoing, DPWH said all motorists “must pass through Aspiras-Ben Palispis (Marcos) Highway or Baguio-Bauang (Naguillian Road). Alternate route for light vehicles: Asin-Nangalisan-San Pascual-Tubao Road.” Meanwhile, two other road sections within the Cordillera Administrative Region have also been temporarily closed. One is the Banaue-Mayoyao-A. Lista-Isabela boundary road due to a series of soil erosions. The alternate route is via the Ubao-Tang Road. The other impassable road is the Busa section in Sabangan, Mt. Province of the Baguio-Bontoc highway due to a road cut. The alternate route is Nacagang-Abatan, Bauko, Maba-ay Provincial Road.

Phoenix, ROS make Commish Cup debut

May 30, 2019 | 8:39 pm

By Michael Angelo S. Murillo
Senior Reporter

PHILIPPINE Cup semifinalists Phoenix Pulse Fuel Masters and Rain or Shine Elasto Painters make their debut in the ongoing PBA Commissioner’s Cup in the scheduled double-header today at the Mall of Asia Arena.

The Fuel Masters play the still-unblemished and league-leading Blackwater Elite (3-0) in the 4:30 p.m. curtain-raiser while the Elasto Painters battle the Meralco Bolts (1-2) in the 7 p.m. main game.

Phoenix comes into the midseason Philippine Basketball Association tournament off their best conference showing in its history in Asia’s first play-for-pay league.

It topped the previous conference in the elimination round in wins and reached its first-ever semifinals but lost to eventual five-time champions San Miguel Beermen, 4-1.

For this conference, the Fuel Masters have brought in a familiar PBA face in Robert Dozier as import.

Mr. Dozier had two tours of duty with the Alaska team previously (2013 and 2016) and led the Aces to the title in the same conference in 2013.

In Phoenix he is reunited with former Alaska teammates Calvin Abueva and RJ Jazul as well as coaches Louie Alas and Topex Robinson.

In the lead-up, the Fuel Masters said they are banking on Mr. Rozier’s “experience and defensive capabilities” to boost their roster which also include Matthew Wright and second-year player Jason Perkins.

Out to spoil Mr. Dozier and Phoenix’s debut is Blackwater, which has been pretty solid off the starting blocks, still spotless after three games under new coach Aris Dimaunahan.

Leading the charge for the Elite are import Alex Stepheson and rookie Ray Parks, Jr.

Mr. Stepheson has been steady for Blackwater, posting monster averages of 25 points, 26 rebounds and three blocks per game.

Mr. Parks, for his part, has been good for 24 points and five rebounds in his debut conference so far. Incidentally he is the reigning PBA player of the week after helping his team to a flawless start.

Mr. Dimaunahan said he is very happy and satisfied with the way his team is performing, highlighting how his “players love playing with each other” and making things happen in their system which make the game easy for them.

He hopes that they stay on the same track even as they recognize that bigger challenges lie ahead for them.

RAIN OR SHINE
Meanwhile, Rain or Shine looks to build on its impressive run in the Philippine Cup, where it came within one win of advancing to the finals.

The Elasto Painters lost to the Magnolia Hotshots Pambansang Manok in seven games in the semis in the All-Filipino conference which they are now using as further motivation as they begin another tournament journey.

To help them in their bid, the paint masters are bringing veteran and champion import Denzel Bowles.

Mr. Bowles helped the B-Meg Llamados to the 2012 Commissioner’s Cup championship where he was also named best import.

He had three more stops with the team after but failed to win another title.

In Rain or Shine, Mr. Bowles joins a team currently experiencing a rejuvenation of sorts with a good mix of veteran and upcoming players.

Meeting the Elasto Painters at the entry door are the Bolts, who have had it roller coaster to date and are angling to catch a break for an upswing.

Import Gani Lawal has been showing the way for Meralco with norms of 32.3 points and 13 rebounds.

The Bolts are expected to welcome today new player Raymond Almazan, whom they acquired via trade in the in-between conference break from Rain or Shine.

NBA Finals today: Game 1

May 30, 2019 | 8:38 pm

TORONTO — The Toronto Raptors are playing in their first NBA Finals, and that makes the Golden State Warriors’ fifth consecutive appearance slightly different.

The Warriors will visit the Raptors on Thursday night (today, Manila time) for Game 1 after playing the Cleveland Cavaliers and LeBron James in the previous four NBA Finals.

The Warriors won three of those encounters and are going for their third consecutive NBA championship.

“Well it’s different,” Warriors coach Steve Kerr said.

“On the other hand, that was the exception. This is more the rule. When you (go) into the playoffs and into the Finals, you’re not supposed to play the same team every year. So that was a special era, a special rivalry and we’re thrilled to be back, and obviously Cleveland has moved on.”

Golden State’s Stephen Curry — who attended middle school in Toronto for two years when his father Dell played for the Raptors — embraces the change.

“Different energy, different city, different views, everything should prepare us to lock in, understanding that we have a prime opportunity to start off this finals series on the road and get a win and set the tone for how it’s going to be,” Curry said.

“I like the challenge and the unfamiliarity of this kind of schedule and flow. We’ve been there before, and we’ve experienced a lot, and this is, I think, something we’re capable of doing.”

The Raptors are making franchise history with their visit to the finals, but there is no indication that they are happy just to be there.

“Obviously, it’s a great accomplishment, and we’re happy to be taking that next step, but you want to win a championship, and you want to win the whole thing,” Raptors guard Fred VanVleet said. “It’s not about just making it to the Finals. We’re not satisfied. We’re not happy to be here. We’re really hungry, and we want to go out here and have a chance to win it, and we’ve earned it, and we deserve it.”

The Raptors won both meetings with the Warriors during the regular season. Of course, Raptors coach Nick Nurse said he expects them to be different this time.

“A better team playing harder,” Nurse said. “I think both teams playing harder and playing better.”

The Warriors are dealing with injuries to DeMarcus Cousins (torn left quadriceps) and Kevin Durant (strained right calf). Durant has been ruled out of Game 1, while the status of Cousins was uncertain, Kerr said Wednesday.

While the opponent will be different for the Warriors, so, too, is opening on the road.

“I think we have always been good on the road, but starting on the road presents a different challenge,” Kerr said.

“There’s a different rhythm to the series. It helps having gone through this last year against Houston where we started on the road and split the first two games and had to win a Game 7 on the road. So this group has done this before.”

“Well, it would be nice not to face a series deficit; that’s for sure,” Nurse said. “But again, I think you’ve just kind of got to take it as it comes. I think you certainly didn’t want to lose the first game against Orlando, but for some reason it ended being a really good thing for us because we looked pretty good the next four times out.

“And I don’t know, we lost embarrassingly in (Philadelphia) and played pretty good from there on out. We dropped two (in Milwaukee), and I wasn’t really that despondent about it.” — Reuters

PECO says expropriation hearings ‘premature’ without ruling on MORE Power’s franchise

May 30, 2019 | 8:38 pm

ILOILO CITY’S power distributor, Panay Electric Company, Inc. (PECO), said it would be “premature” for the Iloilo Regional Trial Court (RTC) to proceed with the hearings on the expropriation of its assets by its competitor, MORE Electric and Power Corp. (MORE Power), without a ruling on another case filed before the Mandaluyong RTC. “At this point though, it is premature to set the WOP (writ of possession) application as the Court has not acted upon PECO’s motion to suspend the expropriation proceedings given the pending case with the RTC of Mandaluyong assailing the constitutionality of MORE’s franchise,” PECO said in a statement issued by its legal counsel, the Divina Law firm. The statement was issued after the Iloilo RTC denied last Monday PECO’s motion to suspend the expropriation proceedings. PECO also said that “there is no urgency to set the expropriation proceedings” as the company was given a provisional authority to continue operating by the Energy Regulatory Commission last week. In the case before the Mandaluyong RTC, PECO is questioning the constitutionality of the Congressional franchise granted to MORE Power. PECO’s franchise expired last January and its renewal application was not approved by Congress. — Emme Rose S. Santiagudo

Kawhi Leonard: Here for championship, not fame

May 30, 2019 | 8:37 pm

TORONTO — Kawhi Leonard loses zero sleep pondering his place in the pantheon of NBA greats. The Toronto Raptors’ All-Star is restlessly pursuing only one thing: a championship ring.

“I’m not playing the game for (notoriety),” Leonard said at NBA Finals media day Wednesday.

“I’m playing to have fun and try to be the best player I can be. I’m happy with myself and what I have done in my career and I’m just going to keep on from there. It’s not about me being famous or want to have more fame than those guys. It’s about me playing basketball and having fun on the floor.”

This is Leonard’s third trip to the NBA Finals, first going as a 21-year-old member of the San Antonio Spurs in 2013, when he was two years removed from playing at San Diego State. One of the Golden State Warriors’ five consecutive trips to the Finals came at the expense of the Spurs, but Leonard said that experience and his time in the Western Conference means little these days. — Reuters