Home Blog Page 11522

PSEi to continue struggle amid lack of fresh leads

WHILE TRADERS turn to inflation figures of the United States and its heating trade tension with China, the main index is expected to struggle to breach the 8,100 mark this week amid the lack of fresh leads.

The local bellwether Philippine Stock Exchange index (PSEi) dropped 0.95% or 76.5 points to 7,945.66 points on Friday. Week on week, it slid 0.42% amid heightening tensions between the US and China.
Value turnover stood at P7.58 billion last week, while net foreign selling was logged at P1.5 billion.
For this week, investors will focus on US reports and developments between Washington and Beijing.
“Investors are anticipating the release of the core inflation report in the US on April 11,” Timson Securities, Inc. equity trader Jervin S. de Celis said in a mobile message on Monday.
An uptick in inflation in March might be taken by the markets as indicative of stronger and stable US economic growth and will signal that the US Federal Reserve will raise borrowing rates a few more times this year. About three hikes are expected.
In his first speech as Fed Chairman delivered last week, Jerome H. Powell expressed optimism on a robust US economy, also noting that tightening monetary policy in a gradual pace will be necessary.
Rate hikes will result in heavier foreign selling of local equities as investors transfer their funds to US treasuries due to attractive rates.
“I think that aside from the pessimism that the trade wars are causing the world markets right now, we should keep our eyes on the US inflation rate report this week as it will be the main catalyst whether or not the FOMC (Federal Open Market Committee) will be more hawkish or dovish in increasing interest rates for the remaining policy meetings this year,” Mr. De Celis added.
For his part, Regina Capital Development Corp. Managing Director Luis A. Limlingan said investors will keep watch over updates on the escalating trade war between the world’s two biggest economies.
“Markets will be taking cues from the latest developments of the trade war to kick off the week,” Mr. Limlingan said in a mobile message today, April 9.
US President Donald J. Trump ordered officials to look into slapping higher tariffs on $100 billion worth of Chinese products. This is on top of the proposal covering $50 billion worth of products that has been elevated to the World Trade Organization.
Current resistance stands at 8,100. For support, Timson Securities’ Mr. De Celis said it remains at 7,800, which might be retested after the index failed to close above resistance level last week.
As local markets were closed for a holiday, other Southeast Asian stock markets inched higher on Monday as a bounceback in US stock futures whetted risk appetite, although heightened trade tensions between the United States and China tempered the gains. — JCL with Reuters

Grab Philippines: Uber app to continue working but with ‘limited functionality’

Uber users in the Philippines will still be able to book rides via mobile application as Grab Philippines announced that the Uber app will continue to operate throughout the review period with Grab bearing the costs.
In an April 9 statement, Southeast Asia’s leading ride-hailing application said the move was part of its “commitment” to comply with the interim measures imposed by the Philippine Competition Commission (PCC).
Among measures being proposed by the PCC include requiring ride-hailing apps to operate independently pending the conclusion of the PCC review; refraining from sharing confidential information; refraining from imposing exclusivity clauses, lock-in periods or termination fees on Uber drivers seeking to join Grab.
Grab however said that Uber will operate with “limited functionality” and “little or no support”.
Read the full the statement released by Grab Philippines today, April 9:
Grab Philippines’ Response to PCCs Interim Measures Order Case no. M-2018-001
April 9, 2018
We reiterate our commitment to the Philippine Competition Commission’s motu proprio review.
With respect to the interim measures imposed by the Commission, the Commission has required the parties to maintain independent business operations and separate operation of the ride-hailing platforms, which means that the Uber app should be kept open, throughout the review period, but left it to the parties to agree on cost allocation. Grab believes that this measure increases the transaction costs of the parties, contrary to the spirit and rationale of interim measures. Grab intends to discuss this matter with the PCC.
Considering that Uber has exited the region on 25 March and clearly stated during the public hearing its incapacity to fund the operations in the Philippines, the parties have agreed to keep the Uber app operational with Grab bearing the costs, to give drivers and consumers time to adjust to Uber’s departure. In the spirit of cooperating with the PCC, Grab has also agreed to continue to bear the costs of the Uber app extension (from March 25 to April 8) until April 15, 2018. Our understanding from the PCC is that this interim arrangement, which was fully explained to the PCC, is not a breach of its Order.
Grab wishes to clarify that, although the Uber app continues to operate, it has limited functionality and little or no support. Grab noted that the LTFRB has expressed concerns pertaining to customer support and safety issues arising from Uber’s limited operations. Grab wishes to stress that this interim arrangement is only for the purposes of satisfying what the PCC appears to require until Grab is able to discuss with the PCC.
We hope that the PCC will sit with the parties to hear their sides and give a fair assessment of the concerns expressed by both parties and that any other action taken would take into account the practical hurdles that may lie across the parties’ paths.
Grab believes that public transportation remains diverse with a wide range of transportation alternatives and a competitive and growing TNVS sector. We are committed to engage with the PCC, LTFRB and other government agencies and to ensure a competitive TNC industry that will benefit the nation as a whole. Grab welcomes LTFRB’s announcement of 4 new entrants into the market and applauds LTFRB’s constant push for more players to keep the market competitive whilst emphasizing on safety as a core tenet of ride hailing in the Philippines. We remain focused on our mission to improve local transportation and will continue to innovate to improve consumer convenience and service, and increase drivers’ earnings potential. As an accredited TNC, Grab will abide by LTFRB regulations where pricing and service levels are closely monitored.
In the meantime, the Grab app operates as per normal and independently. The extension gives Uber drivers more time to sign up on Grab and other alternative platforms. Grab will continue to provide support to accredited TNVS drivers who wish to be part of Grab.

No Filipino killed in van crash in Münster, Germany — DFA

The Department of Foreign Affairs (DFA) on Monday, April 9, reported no Filipino casualty when a van crashed into a crowd in Münster, Germany on Apr. 7 which left three persons dead and more than 20 injured.
“We have been informed by Honorary Consul Heinz-Peter Heidrich that our kababayans in Munster and the rest of North Rhine-Westphalia are safe and accounted for,” said Chargé d’Affaires Lilibeth Pono of the Philippine Embassy in Berlin was quoted as saying in her report to Foreign Affairs Secretary Alan Peter S. Cayetano.
The DFA also mentioned that the Philippines has expressed its condolences to Germany following Saturday’s incident where a man deliberately drove his van into a crowd of pedestrians in Munster.
“Our thoughts and prayers are with the loved ones of those who lost their lives in the tragedy in Munster. We also pray for the speedy recovery of those who were injured in the incident,” Foreign Affairs Secretary Alan Peter S. Cayetano said in a statement.
The Philippines Embassy in Berlin earlier issued an emergency advisory calling on 22,000 Filipinos in Germany to be vigilant due to the incident. — Camille A. Aguinaldo

Ninety percent of Philippines’ installed capacity deemed ‘dependable’ — report

The Philippines has shown improvement on the reliability of its power plants over the years, based on a 15-year statistics released by the Department of Energy (DoE), which shows 90.3% of the country’s installed capacity is “dependable.”
In its latest report, the DoE placed the installed power capacity last year at 22,728 megawatts (MW) while its dependable capacity at 20,515 MW. This compares to the 15,124 MW installed or rated capacity recorded for 2003, of which 88.6% or 13,397 MW are dependable. — Victor V. Saulon

N. Korea tells US it is prepared to discuss denuclearization

WASHINGTON — North Korea has told the United States for the first time that it is prepared to discuss the denuclearization of the Korean Peninsula when North Korean leader Kim Jong Un meets President Donald Trump, a US official said on Sunday.
US and North Korean officials have held secret contacts recently in which Pyongyang directly confirmed its willingness to hold the unprecedented summit, the official told Reuters, speaking on condition of anonymity.
The communications, still at a preliminary stage, have involved State Department officials talking to North Korea apparently through its United Nations mission, and intelligence officers from both sides using a separate backchannel, the official said.
Until now, the United States had relied mostly on ally South Korea’s assurance of Mr. Kim’s intentions.
South Korean envoys visited Washington last month to convey Mr. Kim’s invitation to meet.
Mr. Trump, who has exchanged bellicose threats with Mr. Kim in the past year, surprised the world by quickly agreeing to meet Mr. Kim to discuss the crisis over Pyongyang’s development of nuclear weapons capable of hitting the United States.
But North Korea has not broken its public silence on the summit, which US officials say is being planned for May. There was no immediate word on the possible venue for the talks, which would be the first ever between a sitting US president and North Korean leader.
The US official declined to say exactly when the US-North Korea communications had taken place but said the two sides had held multiple direct contacts.
“The US has confirmed that Mr. Kim Jong Un is willing to discuss the denuclearization of the Korean Peninsula?,” said a second US official.
South Korea’s presidential Blue House welcomed the communication between North Korea and the United States, with one official saying the development was “positive.”
“We are aware contact between North Korea and the United States is going well,” said another Blue House official on condition of anonymity.
“We don’t know, however, up to what extent information is being shared between the two.”
On Monday, former United Nations ambassador John Bolton is due to begin his role as Mr. Trump’s national security adviser, while on Thursday Senate confirmation hearings begin for Mike Pompeo, Mr. Trump’s nominee for secretary of state. Both have taken hawkish stances on North Korea.
The second South Korean official said the South’s National Security Office head, Chung Eui-yong, could speak with Bolton over the telephone as early as Tuesday.
Questions remain about how North Korea would define denuclearization, which Washington sees as Pyongyang abandoning its nuclear weapons program.
North Korea has said over the years that it could consider giving up its nuclear arsenal if the United States removed its troops from South Korea and withdrew its so-called nuclear umbrella of deterrence from South Korea and Japan.
Some analysts have said Mr. Trump’s willingness to meet Mr. Kim handed North Korea a diplomatic win, as the United States had insisted for years that any such summit be preceded by North Korean steps to denuclearize.
Tension over North Korea’s tests of nuclear weapons and ballistic missile surged last year and raised fears of US military action against Pyongyang.
But anxieties have eased significantly since North Korea sent athletes to the Winter Olympics in South Korea in February.
The neighbors are technically still at war after a 1950-53 conflict ended with a ceasefire, not a truce.
North and South Korea will hold their first summit in more than a decade towards the end of April.
The two Koreas have been holding working talks since March to work out details of the summit, like the agenda and security for the two leaders.
Mr. Kim met Chinese President Xi Jinping in a surprise visit to Beijing in late March, his first trip outside the isolated North Korea since he came to power in 2011. — Reuters

Malaysia PM pledges cash, jobs as polls near

KUALA LUMPUR — Malaysia’s scandal-hit Prime Minister Najib Razak last Saturday pledged millions of new jobs and more cash for low-income workers, ahead of a tough election battle expected early next month.
Mr. Najib is fighting to win a third term at the head of his ruling Barisan Nasional coalition, which has governed Malaysia since independence in 1957 but has seen support drop in recent years. He faces a revived opposition and is battling a massive financial scandal.
“This war, we must win! Never let it go to the opposition!” he told a packed stadium in Kuala Lumpur.
Mr. Najib said he would increase cash aid handouts to low-income households, as well as pledged to create three million jobs and gradually raise the minimum wage to at least RM1,500 (US$387) per month.
He faces a challenge from the opposition alliance Pact of Hope, led by 92-year-old former prime minister Mahathir Mohamad. — AFP

Hungary’s Orban wins third term

BUDAPEST, HUNGARY — Prime Minister Viktor Orban won a third straight term in power in Sunday elections after his anti-immigration campaign message secured a strong majority for his party in parliament, granting him two-thirds of seats based on preliminary results.
The right-wing nationalist prime minister projected himself as a savior of Hungary’s Christian culture against Muslim migration into Europe, an image which resonated with millions of voters, especially in rural areas.
“We have won, Hungary has won a great victory,” a jubilant Mr. Orban told a large crowd of cheering supporters near the Danube river in Budapest.
“There is a big battle behind us, we have won a crucial victory, giving ourself a chance to defend Hungary.”
According to preliminary results with 93% of votes counted, National Election Office data projected Fidesz to win 133 seats, a tight two-thirds majority in the 199-seat parliament. Nationalist Jobbik was projected to win 26 seats, while the Socialists were projected as third with 20 lawmakers. Two smaller leftist parties, DK and LMP, won nine and eight seats respectively.
That means Mr. Orban could have a two-thirds majority for a third time, and powers to change constitutional laws.
The European Union (EU) has struggled to respond as Mr. Orban’s government has, in the view of its critics, used its two landslide victories in 2010 and 2014 to erode democratic checks and balances.
The victory could embolden Mr. Orban to put more muscle into a Central European alliance against the European Union’s migration policies.
Mr. Orban, Hungary’s longest-serving post-communist premier, opposes deeper integration of the bloc and — teaming up with Poland — has been a fierce critique of Brussels’ policies. He expressed gratitude to Poland’s leaders for their backing ahead of the vote.
French far-right leader Marine Le Pen, president of the National Front, was the first to congratulate Mr. Orban. “Great and clear victory for Viktor Orban in Hungary: reversal of values and mass immigration as promoted by the EU are rejected again. Nationalists could win a majority in Europe at the next European elections in 2019,” Mr. Le Pen tweeted.
The election produced a turnout of around 70%, exceeding the past three votes. Some analysts say Fidesz’s support was the strongest in small towns and villages.
With his firm grip on state media and his business allies in control of regional newspapers, Mr. Orban’s message was amplified in the countryside.
There, many people only watch the state television news channel, which has showed immigrants causing trouble in western European cities night after night.
The strongest opposition party in the new parliament is the formerly far-right Jobbik, which has recast its image as a more moderate nationalist force. It campaigned on an anti-corruption agenda and urged higher wages to lure back hundreds of thousands of Hungarians who have left Hungary for western Europe.
Jobbik’s leader Gabor Vona said he would tender his resignation after the defeat. “Jobbik’s goal, to win the elections and force a change in government, was not achieved. Fidesz won. It won again,” he said.
The Socialists’ entire leadership also resigned.
With a message that he stands for all Hungarians against foreign meddling, Mr. Orban tapped into feelings shared by many Hungarians who perceive threats to their national identity and feel they are treated as second-class citizens in the EU.
He seized the moment when on Jan. 12 2015, he said immigration into Europe should be largely halted after Paris attacks launched by Islamist extremists. — Reuters

Syria says suspected US missiles fired at air base; Washington denies strike

AMMAN — Syrian state TV said there were casualties in what it said was a suspected US missile attack on a major air base in central Syria but the United States denied it had launched any air strikes against the country.
The state broadcaster earlier said explosions were heard at the T-4 airfield near Homs, which is close to the ancient city of Palmyra in central Syria.
A Syrian military source was quoted as saying air defences shot down eight missiles fired at the base, where defence analysts say there are large deployments of Russian forces, and where jets fly regular sorties to strike rebel-held areas.
The state broadcaster said there were several dead and wounded.
“An aggression was perpetrated on T-4 air base in several strikes that is most likely to be an American attack,” state television said in a news flash.
The US Pentagon said it was not conducting air strikes in Syria “at this time,” formally denying the Syrian state television report.
When asked about the explosions, an Israeli spokeswoman declined to comment.
Israel has struck Syrian army locations many times in the course of the conflict, hitting convoys and bases of Iranian-backed militias that fight alongside Syrian President Bashar al Assad’s forces.
US President Donald Trump said earlier on Sunday there would be a “big price to pay” after medical aid groups reported dozens of civilians, including many children and women, were killed by poison gas in a besieged rebel-held town.
The United States launched a cruise missile strike on a Syrian air base a year ago in response to the killing of dozens of civilians in a sarin gas attack in an opposition-held town in northwest Syria.
That gas attack was blamed on Mr. Assad.
The US missile strike was against a Syrian air base which Washington said was used to launch the strike.
The Syrian state denied government forces had launched any chemical attack.
Russia, President Bashar al-Assad’s most powerful ally, called the reports fake. — Reuters

Australian PM loses opinion poll

SYDNEY — Australian Prime Minister Malcolm Turnbull’s coalition government on Monday lost a 30th straight major opinion poll, a symbolic defeat that intensifies pressure on him after he used the same milestone to oust his predecessor.
The latest widely watched Newspoll, published in The Australian newspaper, showed the Liberal-National coalition trailing the opposition Labor Party 52-48 on a two-party preferred basis, a margin that would deliver Mr. Turnbull an election defeat.
Although Australia is a year away from a general election, the Newspoll leaves Mr. Turnbull facing questions about his future.
Three Australian prime ministers have been ousted by their own parties since 2010, dumped by colleagues after their popularity began to wane.
Once widely popular, Mr. Turnbull has fallen out of favor after a wave of scandals, including the resignation of his former deputy after revelations he was expecting a child with his former press secretary, and an eligibility crisis that saw the government temporarily lose its parliamentary majority.
A surge by right-wing minor parties and factions of his own party has forced Mr. Turnbull to embrace conservative policies, damaging his reputation as a liberal.
There was some good news for the embattled leader with a Fairfax/Ipsos poll published by The Australian Financial Review over the weekend showing that many Australians have grown weary of a revolving-door leadership.
Some 62% of those surveyed said they wanted Mr. Turnbull to remain prime minister.
Senior government lawmakers have also backed Mr. Turnbull.
“Malcolm Turnbull retains the confidence of the vast majority of our party room,” Foreign Minister Julie Bishop, deputy leader of the Liberal Party, told Sky News.
Even former prime minister and party leader Tony Abbott, ousted by Mr. Turnbull in September 2017, and who has led much of the criticism of him, set a conciliatory tone.
“The point I’d make is that we shouldn’t obsess over polls,” Mr. Abbott told reporters in Victoria state.
“I never did. I don’t think that others should.” — Reuters

US, Afghan forces step up attack on Taliban drug labs

KABUL — American and Afghan forces have expanded their air strikes against drug labs into western Afghanistan, aiming to choke Taliban revenue.
Air strikes in Afghanistan, the world’s main heroin source, also threaten civilians, however, and may not be an effective blow to Taliban militants, an expert on the country’s drug industry said.
The campaign targeting Afghan drug labs began as opium production jumped 87% last year to a record high in Afghanistan.
The Taliban, which US officials say controls the drug trade, has made large territorial gains since a US troop cut of recent years.
American and Afghan forces responded with a dramatic increase in air power since early 2017, with the number of weapons released tripling in the first two months of 2018 compared with a year earlier. US Forces-Afghanistan and Afghan forces conducted strikes on 11 Taliban drug production facilities in the western provinces of Farah and Nimroz this week, US Forces said on Saturday. The strikes are the first in western Afghanistan and aim to reduce the Taliban’s main revenue flow, the US statement said.
“By cutting off the Taliban’s economic lifelines, we also reduce their ability to continue these terrorist activities,” said Major-General James Hecker.
Drug processing and taxation generate $200 million annually for the Taliban, according to US Forces-Afghanistan estimates.
The drug lab campaign began in November, and has now included 75 strikes, especially in Helmand, the main poppy-growing province. The poppy’s fluid, opium, is processed into heroin.
David Mansfield, an authority on Afghanistan’s opium industry, says bombing labs has little effect on Taliban revenues because heroin profits and taxes are not as large as US Forces estimate and the simple labs can be quickly rebuilt. — Reuters

Study that will show Boracay’s ‘carrying capacity’ out end of April

The Department of Environment and Natural Resources will be releasing a study on the carrying capacity of Boracay island by the end of April.
Designated spokesman and Undersecretary for Policy, Planning and International Environment Affairs Jonas R. Leones said that finding out the exact figures is not “so useful for our rehabilitation effort for six months.”
“[That’s] Because we can see that all the indications, Boracay is already deteriorating,” he added.
“So, the carrying capacity will only be used and serve as a guide on how much volume of waste can be generated by the area, how much [establishments and] tourists will be allowed to enter Boracay, so that’s the basis.”
“What is important here is that the carrying capacity will be used after the rehabilitation. But at this moment, with the closure, it’s not yet needed, the carrying capacity,” Mr. Leones said.
Starting April 26, the government will shut the island down to proceed with uninhibited rehabilitation in partnership with Boracay Island Water Co., a joint venture between the Ayala-led Manila Water Company, Inc. and the Tourism Infrastructure and Enterprise Zone Authority. — Anna Gabriela A. Mogato

Unidentified men torch P400,000-worth of irrigation pipes in Sarangani

The National Irrigation Administration (NIA) said that six of its High Density Polyethylene (HDPE) pipes in Barangay Malabod, Sarangani were burned, incurring P400,000 worth of losses.
In a statement on Monday, April 9, the agency said that an unidentified number of persons last April 2 burned the HDPE pipes which were “intended to be used as [an] irrigation canal in Malabod Small Irrigation Project.”
“A further joint investigation by [local authorities] alleged that the incident was a result of misunderstanding between the contractor and the laborers hired in that project,” the statement read.
“Other possible causes could be political issues and strategy for recruitment of the unknown rebel groups.”
NIA said that the investigation on the incident is still ongoing to catch the party responsible and determine the real motive behind the incident. — Anna Gabriela A. Mogato