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Gelvezon-Tequi’s underlying messages

THE 15 etchings of the Predella series (1984) show a lady seated at a throne. She holds power despite her ignorance of the violence and unrest depicted at the bottom half of the frame.

To create the pieces, artist Ofelia Gelvezon-Tequi first made the illustration on tracing paper. The image was then transferred on a plate and covered with acid-resistant varnish by running through the press. The image would be in reverse once transferred on the plate. To achieve color printing, she exposed parts of the plate to acid in a process called deep biting.

“Sometimes, there are surprises which you can work with. ‘Yung una mong direksyon (Your first direction), because there are surprises, it swerves a bit. And then you go in that other direction. You have to be humble and accept that you cannot control everything. Sometimes, it turns out better than what you have planned before,” Ms. Gelvezon-Tequi told BusinessWorld.

Once the artist is satisfied, the proof, which is called the bon a tirer (press ready), is pulled (printed), signed, numbered.

The final work is a cooled-toned print contrasted by bright colors of the image of violence at the bottom of the frame.

“Prints are not done directly — there is always an intermediate process between my hand and the final work. Not like in a painting, my idea and my hand go directly to the final work,” Ms. Gelvezon-Tequi differentiated.

“You go through a chemical and mechanical process, either you accept it or you erase it,” she said.

“Prints,” the artist emphasized, “are not copies, they are multiple originals.”

RETROSPECTIVE
The artist who now lives in a village 460 k.m. southwest of Paris returned to the Philippines for a retrospective of her works which is on view at the Main Gallery of the Cultural Center of the Philippines (CCP).

A project which started three years ago, Realities & Allegories, Ofelia Gelvezon-Tequi in Retrospect showcases 219 works with subjects ranging from sacred images and religion, to still lives, and her commentary on social issues. The prints and paintings span five decades and explore thematic contexts and modes of art practices. The featured artworks are from private and institutional collections, and the artist’s personal collection.

“[Her] prints are very strong allegorical statements,” said exhibition curator Victoria “Boots” Herrera of the retrospective’s title at a press walkthrough on Feb. 19. “I also realize how she is very much rooted to the realities in the Philippines even though she lives overseas. I thought of putting both words together.”

The exhibition introduces the artist with her self-portraits such as the Sacra Conversazione (1980) which depicts the artist talking to herself and engrossed in reflection.

A unique detail that Ms. Herrera pointed out in a print was that the woman wore nail polish — something that the artist considered wishful thinking since she always got her hands dirty making prints.

At the center of the exhibit are works that comment on socio-political events. There is The Homage to Ambrosio Lorenzetti III (1987), a triptych which is an allegory of good government. The center of the piece has a benevolent ruler surrounded by virtues that the artists wishes for her country.

“My wish is that the magnanimous ruler would be surrounded by virtues [such as] faith, hope, and charity. He should be surrounded by virtues in such a way that you can lie down and feel safe,” Ms. Gelvezon-Tequi said.

Adjacent to the work is Homage II to Ambrosio Lorenzetti 3/25 (1987), an allegory of bad government. “The tyrant is surrounded by vices of vanity, pride, and greed. The visual pun is, he is accompanied by a buwaya (crocodile) and there is a tuta (puppy) at his feet,” she explained. The buwaya and the tuta commonly refer to the greed of politicians and sycophants, respectively, in Philippine culture.

“I would prefer my viewers to look deeper. I want them to see what I am trying to say,” said the artist.

At the end of the gallery are still lifes done in acrylic of furniture, flowers, and fruits from the 2000s. The exhibition extends with her early works done during her student days in Italy in the 1960s posted on the walls outside the gallery.

Ms. Gelvezon-Tequi earned degrees in Fine Arts and English at the University of the Philippines-Diliman. She then earned a diploma in painting at the Accademia di Belle Arti di Roma in Italy and went to the Pratt Institute in New York City to pursue Special Studies in Graphic Arts through a Rockefeller Foundation Scholarship. Among her awards and recognitions are a gold medal for printmaking from the Art Association of the Philippines (1982), and the Pamana ng Pilipino award (2014).

Archival materials on Ms. Gelvezon-Tequi are available for browsing at the CCP Library reading area.

A panel discussion with women printmakers will be held on March 4, 3 p.m., at the Main Gallery with Ambie Abaño, Ivi Avellana-Cosio, Yas Doctor, Imelda Cajipe-Endaya, Henrielle Pagkaliwangan, and Ms. Gelvezon-Tequi. The discussion is open to 20 participants. Interested participants may register at ccp.exhibits@gmail.com. Admission is free.

Allegories and Realities runs at the CCP Main Gallery until May 24. The gallery is open from Tuesday to Saturday, 10 a.m. to 6 p.m. — Michelle Anne P. Soliman

CIMB Bank Philippines looking to double customer base this year

CIMB BANK Philippines is eyeing to double its customer base this year as it continues its platform banking model which relies on partnerships with “digitally savvy” players in the field.

After securing two million retail clients since its 2019 launch as of February for its all-online digital bank, CIMB Bank Philippines Chief Executive Officer Vijay Manoharan said they want to increase their clients to three million this year and even aim for a four-million user base.

“Because we’ve been ambitious last year, we want to be knocking at four million. It’s very ambitious…but we’re putting ourselves out there,” Mr. Manoharan said in a briefing held at Makati on Tuesday.

Mr. Manoharan said their client base is mostly made up of younger users, with some of accounts being these clients’ first bank account.

“Thirty percent of the customers that we have were unbanked. These guys never had a banking relationship in their life and they jumped on to us,” Mr. Manoharan said.

This year, CIMB said it will continue to forge partnerships as part of its strategy to acquire more users through platform banking.

“We have two or three other partners that we’ve already signed… So in the next 30 days, we will probably announce,” Mr. Manoharan said.

“All our partners will be digitally-savvy partners. Our partners will all be doing something digital,” he added.

In a previous interview, Mr. Manoharan said areas or industries they look to tie up with would include e-commerce, travel, transportation, and even groceries where customers engage.

The Malaysian bank’s current partnerships include its tieup with CIS Bayad Center, Inc. which allows Bayad Center customers to avail of the loan and savings products of CIMB through the Bayad Center app.

It also has a partnership with GCash which allows the latter’s users to directly transfer their savings into CIMB through the GCash App.

Mr. Manoharan said they are coming up product offerings geared towards the small and medium enterprises (SME).

“I want to make it a bit of surprise, it will happen in 2020. We are going to do something in the [SME] space this year,” he said.

Mr. Manoharan previously told BusinessWorld that they have been studying the pain points and opportunities of expanding their loan portfolio to SMEs. — Luz Wendy T. Noble

Cebu Landmasters starts Bohol project

CEBU Landmasters, Inc. (CLI) has launched a new residential project in Bohol that it expects to generate revenues of more than P900 million.

In a statement Tuesday, the listed property developer said it is strengthening its market hold in the Visayas and Mindanao regions with the construction of a 204-unit development in Dauis, Bohol.

The property will carry the Velmiro brand and will be named Velmiro Greens Bohol, and offer townhouse and single-detached units with sizes ranging from 60 to 100 square meters.

CLI is targeting the growing mid-market segment in Visayas and Mindanao for the project as it will be built within a 3.6-hectare gated community. Velmiro Greens Bohol is set for completion by 2023.

“Our buyers feel they are getting great value for their money and this has resulted in good takeup rates across all our Velmiro projects,” Jose R. Soberano III, chairman and chief executive officer of CLI, was quoted as saying in the statement.

Velmiro is one of CLI’s brands for residential subdivision projects, noted for having open spaces, landscaped parks, a swimming pool, a multi-level clubhouse with function rooms, fitness gym, basketball court and playground.

Other Velmiro projects by CLI are Velmiro Heights in Cebu, Velmiro Plains Bacolod and Velmiro Uptown Cagayan De Oro. The company said the Velmiro brand accounted for 37% of its total sales last year.

Last week, CLI said it was driven by the “economic dynamism, resilience and social growth” of the Visayas and Mindanao (VisMin) regions, hence its continuous investment in the area.

Citing a market study by real estate consultancy firm Santos Knight Frank, CLI said it is the top developer of residential projects in the VisMin area with a 12% market share, beating Sta. Lucia Land, Inc. and Vista Land and Lifescapes, Inc. (tied at second with 8% market share), Avida Land Corp. (5% market share) and Filinvest Land, Inc. (4% market share).

“Our expertise and relationships in the region have allowed us to maximize those opportunities and have served as drivers of the firm’s consistent growth,” Mr. Soberano said.

CLI booked a 77% growth in net income to P1.65 billion as of September 2019, driven by a 61% surge in revenues to P5.95 billion. Its shares at the stock exchange closed higher by 10 centavos or 2.23% to P4.59 apiece on Tuesday. — Denise A. Valdez

Broadway’s radical new West Side Story paints an angry young America

By Brian Shaefer, Bloomberg

IN SPRING 2016, Belgian theater director Ivo van Hove was in New York, preparing his Broadway production of Arthur Miller’s The Crucible. Between rehearsals, he found himself captivated by the crowded and chaotic Republican presidential primaries. Like the rest of the country, he watched in awe as Donald Trump moved from the sidelines to center stage in a drama as startling as Miller’s.

Mr. Van Hove realized that the issues bubbling up in the campaign — racism, immigration, issues of integration, tribal loyalty — were all in a certain 1957 musical. “I thought: Well, West Side Story talked about this in a very accessible way,” he says. “With great music.” After directing a string of critically acclaimed reinterpretations of American classics, including A View from the Bridge and A Streetcar Named Desire, among others, he decided the Shakespearean story of star-crossed lovers in midcentury New York would come next.

One presidential election cycle later, Van Hove’s West Side Story opened on Feb. 20 at the Broadway Theater in a production that feels as urgent as its themes, thanks to a slimmed one-act structure and video projections that leave the vast stage bare for hurricanes of dancers to blow through. (The production will precede Steven Spielberg’s big-screen remake of the 1961 Academy Award-winning film adaptation, due in December.) Six decades after its debut, it seems West Side Story is again the story of our time.

REINVENTING A TREASURE
Back in 2016, after Trump secured the nomination, Van Hove took his vision to producer Scott Rudin, who liked it. But Van Hove had a few conditions. “I want to make a West Side Story for the 21st century,” he told Rudin. “Not a recreation of what it was in the ’50s.” In particular, that meant new choreography.

New moves are hardly a radical request for your typical musical revamp, but the choreography for West Side Story by Jerome Robbins, a dance and theater legend who also conceived and directed the show, is sacred. It may be the most celebrated in American musical theater, thanks largely to the success of the film Robbins co-directed with Robert Wise. Think of those crisp, menacing finger snaps; the hungry, open palms reaching skyward; and Rita Moreno as Anita, spiritedly tossing back her head at the ecstasy of being in America.

“There had been ambitious dances integral to a show’s plot before,” wrote dance historian Deborah Jowitt in her biography of Robbins, “but none in which dance is a way of defining character from the outset.”

Eyebrows were raised, then, when Van Hove brought on board choreographer Anne Teresa De Keersmaeker, a compatriot who traces her dance lineage to the American post-modernists, an influential group that, beginning in the 1960s and ’70s, eschewed spectacle in favor of such pedestrian movements as walking and shrugging. In the early 1980s, while Robbins was prolifically creating work for New York City Ballet uptown, De Keersmaeker, who lived in New York for a time, was downtown absorbing the ethos of abstraction from such artists as Trisha Brown and Yvonne Reiner. (She also saw Cats on Broadway, which was not her thing.) Van Hove says he invited her to do the show because “her dance is deeply rooted in New York.”

De Keersmaeker was intrigued by Van Hove’s invitation — and cautious. “I could only accept [the project] if I was allowed to relate to my own past and vocabulary and way of working,” she says. De Keersmaeker calls herself a formalist, meaning she pays more attention to patterns and spatial relationships than to character and story. That philosophy is clear at the start of this production: Instead of launching straight into the famous, 10-minute, wordless opening ballet, De Keersmaeker scraps the snaps and introduces characters through grim-faced posturing and subtle shifts in balance, projecting their power through stillness, rather than motion.

But musical theater audiences aren’t as patient as the ones who go to concert dance. They expect excitement. “I was not used to thinking in those terms,” she explains. “I had to sharpen my pencil. I learned a lot.” She had to find a way to mix abstraction with the plot’s emotional demands. One vivid example comes at the conclusion of “Tonight,” a ballad sung shortly after protagonists Maria and Tony first meet. De Keersmaeker creates a tableau fit for a Renaissance painting in which the lovers are held back by their respective clans as they fight to connect. It’s a simple, nearly still, poignant image that casts a shadow of foreboding over what is usually the show’s uncomplicated romantic apex.

A VAST SCREEN — AND YOUTUBE
Frequently in this production, the entire back wall becomes a movie screen, sometimes capturing live scenes on or just off stage. At other times, the camera tracks along empty New York streets (vacant until we stumble upon a dreamlike, distant dancing figure). There are prerecorded images of the actors up close, which serves to supersize their emotions. At times, it can be difficult to know where to look, or challenging to focus on the human bodies dwarfed by their amplified images; yet, for better or worse, the method may speak to young audiences in the digital language they know best.

De Keersmaeker herself turned to YouTube, which she calls “the hugest dance library,” to study forms of urban dance such as hip-hop, house, krumping, and Latin dance styles. “There are so many styles that we’re doing,” says Dharon E. Jones, who plays Riff, the Jets’ leader. “It speaks to the melting pot of people in the show, the melting pot of people in New York, and bringing all those backgrounds onto the stage.” For the raucous “Dance at the Gym,” for example, the opposing gangs assert their dominance through artful strides and assertive leaps in their own ways: The Sharks use more Latin steps; the Jets employ house dance footwork and floorwork.

These styles were not part of De Keersmaeker’s own physical vocabulary, so she and Van Hove brought in veteran Broadway choreographer Sergio Trujillo and Patricia Delgado, a ballerina from Miami, as consultants. They spent days with the cast adding Latin and house dance details — decorative moves for the arms and hips — that De Keersmaeker then integrated into her style.

That process stemmed from conversations around identity and representation, which, in many ways, are baked into the DNA of Arthur Laurents’s original book and Stephen Sondheim’s original lyrics (Jets member Anybodys was already genderqueer in the film), and De Keersmaeker and Van Hove updated and heightened it in their version. This revival’s casting became a statement of its values and added an important insight: Both Sharks and the Jets are multi-hued gangs to such a degree that they become indistinguishable at times.

BLURRING COLOR LINES
“I never saw myself playing a Jet, because I thought they’d always be white,” Jones says. “I never thought there’d be black people or Asian people as Jets. It’s special that people of color are playing all parts in West Side Story.” The blurring of the previously firm lines between the gangs highlights their shared experiences. As De Keersmaeker describes it: “They’re both immigrants. And they’re both asking for recognition. And they’re both facing poverty.”

This is starkly illustrated in the musical number “Officer Krupke,” which the Jets sing about a local policeman who’s been harassing them. In the film, it’s practically a gag number; in this revival, it becomes a screed against police brutality and mass incarceration. During rehearsals, the creative team initiated a dialogue about those issues, inviting cast members to share their experiences and perspectives.

“They encouraged us to bring ourselves to the show so the team can speak to the audience,” Jones says. “It means the world to us.” “Officer Krupke” may be the show’s most radical update, more than its new choreography — in a way, the show’s thesis. “It’s about the structural abuse of institutions, the police, the justice system, the social system, the health-care system,” Van Hove says. “It was very clear that this was a very political song.”

And it helps drive home the idea that the issues the show grapples with — the toxic camaraderie that comes with shared hatred, the demonization of difference — are issues waiting for viewers right outside the theater. Now, in 2020, another combative presidential election is in process. The man who once stood on the periphery of the debate stage is well-poised for reelection. And two Belgian artists have reimagined a quintessentially American story to confront new audiences with the tragedy at its heart.

PLDT partners with AI platform provider

THE innovation laboratory (Innolab) of the enterprise business of PLDT, Inc. has signed a partnership agreement with artificial intelligence platform provider Senti AI to “co-create” relevant solutions for businesses in the country.

In a statement e-mailed to reporters on Tuesday, PLDT said it was hoping that the partnership would empower Philippine start-ups.

Under this partnership, PLDT Enterprise and Senti AI aim to “co-create” more relevant solutions to meet the evolving demands of today’s businesses, PLDT said.

They will also help their start-up partners “achieve greater scale and go global,” it added.

Founded in 2015, Senti AI first offered a social listening dashboard called “Pulse.”

“Pulse” has allowed users to monitor conversations in various local languages, helping them to gain richer and deeper market insights, PLDT said.

“Given PLDT Innolab’s business development thrust, Senti AI has been able to successfully fortify the said solution and bring it to more customers—even catering to some of the country’s biggest brands and conglomerates. Today, Senti AI also offers Volant, its forms processing automation tool; and Natter, a localized Chat Assistant API,” it said further.

PLDT also noted that the Innovative Start-up Act that President Rodrigo R. Duterte signed on April 26 last year supports Innolab and Senti AI’s initiative.

“With the government’s optimism for the dynamic industry, more investors have begun eyeing local start-ups. Such response couldn’t come at a better time as the Philippines is expecting 6.6% economic growth for 2020,” it said.

The implementing rules and regulations (IRR) for the Innovative Start-up Act or Republic Act No. 11337 (RA 11337) was signed in November.

The new law qualifies for incentives “any person or registered entity in the Philippines which aims to develop an innovative product, process, or business model.”

Under RA 11337, the programs, benefits, and incentives include full or partial subsidies for business registration, application, and permit processing costs; endorsement of the host agency for the expedited or prioritized processing of applications with other government agencies; full or partial subsidy for the use of facilities, office space, equipment, and services provided by government or private institutions; full or partial subsidy in the use of repurposed government space and facilities of the host agency as the registered business address; and grants-in-aid for research, development, training, and expansion projects. — Arjay L. Balinbin

PSBank income up 13.8% in 2019

PSBank
PHILIPPINE Savings Bank saw its net income climb in 2019.

PHILIPPINE SAVINGS Bank’s (PSBank) net profit jumped in 2019 supported by higher operating income and core net interest margin.

In a filing with the local bourse, PSBank said its net income grew 13.8% year on year to P3.03 billion in 2019 from P2.66 billion the previous year.

Meanwhile, revenues inched up by 2.8% to P14.6 billion from P14.2 billion in 2018.

“The bank’s profits came from the growth of both its core net interest margin and other operating income, supplemented by upsides from operating efficiencies,” the thrift unit of Metropolitan Bank & Trust Co. said in a statement.

Return on equity stood at 10.3%, while return on assets was at 1.3%.

Meanwhile, operating expenses, excluding provisions for impairment and credit losses, slipped by 2.8% to P256.89 million in 2019.

“The bank’s strategy on core growth brought positive results despite the volatile environment in 2019. Challenges were met head on, reinforced by significant contributions from all the bank’s business units,” PSBank President Jose Vicente L. Alde said in the statement.

The lender’s total loan book rose by 4.7% to P164.11 billion buoyed by the consumer loan segment. PSBank said its non-performing loan (NPL) ratio improved to 3.6% from 4.2% in 2018, despite an increase in risk assets.

The bank’s capital adequacy ratio stood at 17.8%, while its common equity Tier 1 ratio was at 16.8%, both well above the regulatory minimum.

On the other hand, total resources dipped 5.4% year on year to P224.91 billion.

Likewise, total deposits dropped 14% to P172.51 billion as the lender rebalanced “its funding mix to focus on retail and alternative sources,” it said.

Meanwhile, total equity climbed by 41.3% to P34.46 billion.

PSBank currently has 250 branches and 557 automated teller machines nationwide.

In July last year, the thrift lender raised P6.3 billion from the issuance of two-year peso fixed-rate bonds with a yield of 5.6% per annum.

PSBank’s shares ended trading at P50.40 apiece on Tuesday, up by 40 centavos or 0.8% from its previous finish. — Luz Wendy T. Noble

The politics of the body

By Maria Jovita Zarate

Theater Review
Under My Skin
Written by Rody Vera
Directed by Melvin Lee
A production of the Philippine Educational
Theater Association (PETA)
Feb. 7 to March 22
PETA Theatre Center

IT’S a pas de deux on air. Two men attracted to each other climb up a silky white cloth mounted on the proscenium’s battens, and they slide and slither until they reach the heights of libidinal pleasures. Lust evolved to love but the commitments that were forged soon teeter on a precipice as they battle the human immunodeficiency virus or HIV now lodged in their bodies.

The scene described above could have been one of the most artistically executed in PETA’s latest offering, Under my Skin, directed by Melvin Lee and written by Rody Vera.

The rest of the play oscillates between teaching moments and melodramatic episodes.

One of the many routes by which to appreciate Under my Skin is to trace the narrative traditions from where the lineaments of its form and content spring from, much like how the sea in its infinite expanse emanate from rivers and streams.

Under My Skin straddles two narrative traditions in Philippine literary production — the didactic and the melodramatic.

The first is about dispensing knowledge and information with the goal of shifting mindsets, spurring behavioral changes or moving audiences to collective action. In the more extreme forms of political theater, the didactic impulse is the fulcrum from where the material pivots, as it seeks to expound on the ills of society to incite the citizens to resist authority.

Melodrama, on the other hand, is about playing on human emotion and the nuances of its expressions. It panders to spectator vulnerabilities to the human conditions that unfold before their eyes, and are mostly grounded on suffering and anguish.

In the hands of a lesser playwright, Under My Skin could have tumbled off-kilter because of its propensity to convey information through what seemed like an enhanced powerpoint presentations and TED talks style of lectures, as well as with lovers’ drama and the histrionics of low T-cell counts splayed throughout the two and a half hour presentation.

But it did not. Under my Skin makes a good case why didactism and melodrama is not always boring and tedious. In fact, it seems to illustrate how such dramatic styles can be leveraged as forms of cultural intervention in pursuit of public interests.

Rody Vera deploys his skill with the precision of an alchemist throwing in the philospher’s stone that makes the didactic gleam, and melodramatic pulsate with the hope for human redemption.

The play starts with a female narrator unpacking data about the exponential increase of HIV infections in the Philippines even if our ASEAN counterparts have successfully abated its spread. Human stories take over, the most prominent of which is a gay couple’s predicament as they discover both of them have tested positive with the virus, and one of them fending off the ferocious onslaught of opportunistic infections. The tenuous partnership is shored up by another gay couple who keeps them on a steady keel.

We learn that the narrator played by teleserye regular Cherry Pie Picache is Dr. Almonte, in charge of receiving patients who have contracted the virus. Her goal is singular — to keep the HIV positive status from progressing to AIDS, or acquired immunodeficiency disorder syndrome, a condition that is deemed fatal.

In the didactic tradition, information in massive amounts is freely dispensed, exhortation is the default tone, and the premise of the material is predicated on the urgency of a situation. In PETA’s Under My Skin, the information conveyed — the facts, the medical management, the list of retroviral drugs, the precautions, and the compliance required from HIV positive individuals — are handed down by the authority figure of Dr. Almonte whose skill set includes the compassion to see the person behind the patient, the past and present life alongside with the disease.

The men-having-sex-with-men (MSM) community is well represented quite disproportionately as against heterosexual persons. Such over representation can be misconstrued as discriminatory profiling of a sectoral demographic. But then again, the numbers speak much about the epicenter of the epidemic, and makes reason enough to call on the public health institutions where to train their focus.

Much of our education on formal theater is hinged on rallying behind formalist aesthetics but what Under My Skin teaches us is that the politics of the body looms larger than the poetics of theater.

For indeed, the scourge that is the HIV strains the physical body that has been a site of so much power contestations — from institutions that control the body, as well as norms and structural inequities that exclude segments of society from receiving adequate health information and medical attention. The Catholic Church’s position against the use of contraceptives and its gatekeeping functions on sex education has contributed much to our ignorance on HIV and how it spreads.

Vera and Lee are well aware of the artistic elements and the synergies that must govern the piece as they set it to life in a proscenium. What they have actually done is a precise calibration, almost to the level of science, of how theater’s poetics can subsume itself in the more overarching goal of spreading awareness about HIV, and making a cultural intervention as an entire nation confronts the scourge of being ranked as the country with the fastest growing number of HIV cases in the world.

Performances are ongoing until March 22 (Fridays at 8 p.m., Saturdays and Sundays at 3 and 8 p.m.) at the PETA Theater Center, No. 5 Eymard Drive, Brgy. Kristong Hari, New Manila, Quezon City. For tickets, contact PETA at petatheater@gmail.com, or TicketWorld at www.ticketworld.com.ph and 8891-9999.

Top central banks appear primed to act to combat coronavirus risk

TOKYO/FRANKFURT/WASHINGTON — The world’s top three central banks look set to take steps to limit the economic damage from the fast-spreading coronavirus, with the heads of the European Central Bank (ECB) and Bank of Japan (BoJ) issuing emergency statements on Monday that echoed one from US Federal Reserve Chair Jerome Powell late last week.

The day kicked off with BoJ Governor Haruhiko Kuroda pledging to take actions as needed to stabilize markets jolted by the coronavirus outbreak, and ECB President Christine Lagarde followed suit late in the day with a comparable statement. Powell on Friday promised the Fed would “act as appropriate” to support the US economy.

“We stand ready to take appropriate and targeted measures, as necessary and commensurate with the underlying risks,” Ms. Lagarde said in a statement issued shortly after US stock markets closed. “The coronavirus outbreak is a fast developing situation, which creates risks for the economic outlook and the functioning of financial markets.”

The reassurances from the world’s leading finance officials were a main catalyst behind Monday’s global rebound in stock markets, which had suffered breathtaking losses in late February as it became evident the virus would not be contained to its original epicenter in China.

Mr. Powell, Mr. Kuroda and Ms. Lagarde will also join finance ministers and other central bankers from the world’s seven largest economies on a call on Tuesday to discuss the widening crisis. The virus has spread to 60 countries, killed more than 3,000 people and has upended global supply chains.

What action they will take and how soon remains an open question, especially given that all three are already operating with precious little ammunition in their policy arsenals. Of the three, the Fed is the only one with a policy interest rate above zero, and between them their balance sheets are stuffed with more than $14 trillion of assets.

Nonetheless, economists and investors have taken their statements and the hastily organized G7 call as a strong signal that coordinated policy action is coming sooner rather than later.

“The news of tomorrow’s G7 finance minister and central banker call to discuss a coordinated response clearly increases the potential that the Fed could move this week,” JPMorgan’s chief US economist Michael Feroli said in a note.

“We believe a 25-basis point move would risk disappointing markets and thereby tightening financial conditions.”

“Arguably the FOMC (Federal Open Market Committee) should do even more than the 50 basis points expected by us and the market.”

Pricing in interest rate futures tied to the Fed’s policy support a 100% chance of a half percentage-point rate cut at the Fed’s March 17-18 meeting, and another half a percentage point-cut by July. The Fed’s current overnight borrowing rate is set in a range of 1.50-1.75%.

Goldman Sachs’ economists Jan Hatzius and Daan Struyven said the Fed may not wait until its scheduled March meeting, however.

“Chair Powell’s statement on Friday suggests to us that global central bankers are intensely focused on the downside risks from the virus,” Messrs. Hatzius and Struyven said in a note.

WHAT ELSE CAN THEY DO?
There are doubts about how effective rate cuts could be.

That is partly because of the nature of the threat: Central bank and fiscal policy can boost demand by lowering the cost of borrowing and putting money in people’s wallets. But they cannot repair disrupted global supply chains or convince people to fly, attend meetings or even go to school, especially if local governments or companies bar such activities.

Indeed, with rates in Japan and Europe already in negative territory, those doubts are even more amplified, suggesting the BoJ and ECB will seek alternatives to simply cutting rates.

Ms. Lagarde’s hint that the bank would take “targeted” measures suggests it could opt for tools that more directly impact the ailing economy, such as ultra cheap loans tailored for firms or more liquidity operations to bolster the economy.

They could also include further corporate debt purchases or an increase in the exemption from the ECB’s punitive charge on commercial banks’ excess reserves.

The ECB’s key rate is already at a record low minus 0.5% and a reduction would not do much more than signal determination to provide stimulus. Markets have already fully priced in a 10-basis-point rate cut at the ECB’s March 12 meeting.

In Japan, Mr. Kuroda’s remarks appeared focused on keeping markets functioning smoothly.

“The BoJ will monitor developments carefully, and strive to stabilize markets and offer sufficient liquidity via market operations and asset purchases,” he said.

That suggested the BoJ, which meets March 18-19, will make full use of existing tools to flood markets with funds, before pondering additional monetary easing steps.

Indeed, the BoJ subsequently offered 500 billion yen ($4.62 billion) in two-week funds via market operations. Investors also expect the central bank to ramp up daily purchases of exchange- traded funds (ETF) to put a floor on stock prices.

“Kuroda’s statement focused on market operations and asset purchases, which meant the BoJ may make its ETF buying more flexible to support stock markets or take steps to avoid money markets from tightening,” said Yoshimasa Maruyama, chief economist at SMBC Nikko Securities. — Reuters

Art & Culture (03/04/20)

Arte Povera lecture

AS part of the Met Lecture Series, the Metropolitan Museum of Manila present Italian Ambassador Giorgio Guglielmino giving a lecture “Arte Povera: An Italian Art Movement that Shaped Contemporary Art,” on March 7, 2 p.m. Mr. Guglielmino is a diplomat, a writer, and a collector of contemporary art. He has published several books on art, has curated several exhibitions, and has a regular column on Il Giornale dell’Arte. The lecture fee is P200, with a discount for students, PWDs, and senior citizens. For details call 8708-7828 or 29, or e-mail info@metmuseum.ph.

Staged reading of The Revolutionists

CAST’s staged reading of Lauren Gunderson’s The Revolutionists will be held on March 21, 8 p.m., at the Power Mac Center Spotlight at Circuit Makati. The comedy, which revolves around a quartet of women during the French Revolution, is directed by Nelsito Gomez. Early bird tickets are P400, walk-in tickets are P500. For tickets contact 0917-837-8357 or 0918-917-1540.

Talking with Judy Freya-Sibayan

AS PART OF the Performing My Self-archive, My Other Body: An Autobiographical Installation Art Performance, A Work of Institutional Critique which is on view until March 21 at Silverlens, 2263 Don Chino Roces Avenue Ext., Makati, the artist, Judy Freya-Sibayan hosts small weekly small group discussions on artists and their archives. These will be held on March 4, 5, 7, 11, 12, 14, 18, 19, 21, 2:30-3:30 p.m. Seats are limited to three to five guests a day. For reservations call 8816-0044, 0917-587-4011, or e-mail info@silverlensgalleries.com.

Media networks say high ratings maintained in Feb.

CITING different rating providers, ABS-CBN Corp. and GMA Network, Inc. reported on Tuesday that they had kept their ratings high last month.

The Lopez-led media giant said its nationwide TV audience share for the month of February, as reported by Kantar Media, stood at 39%, beating its rival GMA’s 33%.

ABS-CBN said Kantar Media used a nationwide panel composed of 2,610 urban and rural homes, representing 100% of the total TV viewing population of the country.

GMA said it recorded an average of 35.2% total day people audience share nationwide last month against ABS-CBN’s 32.1%. The network cited data from Nielsen TV Audience Measurement.

“The Kapuso Network’s overall lead was mainly driven by its steadily improving numbers in the morning and afternoon blocks,” it said.

For its part, ABS-CBN said: “The network kept its stronghold of primetime, earning 43% versus GMA’s 33%.”

GMA said it ruled in Urban Luzon with 37.2% average total day people audience share, beating ABS-CBN’s 29.5%. It added that it was also winner in Mega Manila with 38.1% while ABS-CBN only got 27.5%.

Meanwhile, ABS-CBN said it “led all media networks in bringing its content online to address the change in the Filipinos’ viewing habits.”

In January, ABS-CBN said it was “leader” in national television ratings, while GMA Network, Inc. said it “clinched the top spot.”

ABS-CBN said its nationwide TV audience share for the month of January stood at 38%, beating its rival GMA’s 32%. — Arjay L. Balinbin

How PSEi member stocks performed — March 3, 2020

Here’s a quick glance at how PSEi stocks fared on Tuesday, March 3, 2020.

PHL Feb. PMI rises amid broad ASEAN contraction — IHS Markit

IHS MARKIT said its Philippine purchasing managers’ index (PMI) was 52.3 in February, the highest level in Southeast Asia, and outperforming other economies whose supply chains were disrupted more severely by the coronavirus outbreak.

IHS Markit, an economic data provider, said Tuesday that the ASEAN region’s purchasing managers’ index rose to 50.2 last month from a 49.8 reading in January, its first gain in nine months which it described as “only fractional” due to declines in production and falling employment.

PMIs are considered leading indicators of future manufacturing activity because materials for processing must be ordered in advance. PMIs are typically organized around a scale of 50 points, with readings above 50 signalling expansion and those under 50, contraction.

The Philippine PMI performance in February, up from 52.1 in January, represents “the joint-fastest improvement in operating conditions since December 2018.” Previously, Myanmar had been the region’s top performer since February 2019. Myanmar posted a 49.8 reading last month from 52.7 a month earlier.

“At 49.8, the latest reading ended a survey record 15-month period of continuous improvement,” IHS Markit said.

Indonesia posted a “modest uptick” of 51.9 last month, expanding for the “first (time) in eight months.” Thailand posted a second consecutive contraction at 49.5 , while Vietnam’s 49 “signalled the first deterioration in the health of the sector since late 2015, amid reports” of disruptions stemming from the outbreak of coronavirus, formally known as Covid-19.

Malaysia’s PMI reading was 48.5 while Singapore’s downturn continued in February to 45.8, the lowest level in four months.

“(The ASEAN PMI reading improved as) new orders increased at the quickest rate since May last year, but only mildly. Falls in output and employment weighed on the headline figure, however, as production declined for the first time since last November and workforce numbers fell at the quickest rate for three months,” IHS Markit said.

It flagged the disruptions in supply chains caused by the Covid-19 outbreak, reflected in reduced buying activity by businesses and declining inventories.

In February, pre-production inventories marked their largest fall in four months while stocks of finished goods declined for the first time since August.

“The lack of output growth so far this year, coupled with renewed supply chain pressures, adds to concerns over whether the health of the sector can improve further,” Lewis Cooper, economist at IHS Markit, was quoted as saying.

“The next month’s data will provide a further indication of the effect of the coronavirus outbreak on ASEAN goods producers,” Mr. Cooper added.

Firms reported that costs continued to increase due to higher inflation, adding that these costs were not passed on to clients since selling prices remained broadly stagnant.

“Firms remained, on average, positive that output would increase over the coming year, but overall optimism slipped to a four-month low,” the report said.

Asked to comment, Security Bank Corp. Chief Economist Robert Dan J. Roces said February’s reading indicates that the country’s manufacturing sector demonstrated ”resilience… weather(ing) challenges” such as the US-China trade war last year, the eruption of Taal Volcano… and currently, the ongoing Covid-19 outbreak that continues to disrupt global supply chains and slow economic activity.

“However, the sector is not immune to economic headwinds, most especially from regional supply chain disruptions and indeed it will mirror the impact to manufacturing in the region; but we do expect it to still perform better relative to peers,” Mr. Roces added in an e-mail.

ING Bank N.V. Manila Senior Economist Nicholas Antonio T. Mapa said the PMI report indicates some “interesting trends” including “idle supply chains in China” due to closed factories, while the Philippines and Indonesia posted “surprising improvements” in their readings.

“One common factor between the two is that they have relatively lower exposure to China’s global supply chain (as well as the other) characteristic shared between the Philippines and Indonesia, that food manufacturing comprises the bulk of activity,” Mr. Mapa said.

“We are hoping that this means that food production in both the Philippines and Indonesia remains robust, which could ensure stable supply for domestic consumption and lower food prices for Filipinos and Indonesians,” he added.

However, as the outbreak continues to persist and weigh on China’s production, he warned that the PMI indices for these two countries could be dragged lower. — Beatrice M. Laforga