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New GMA online show focuses on life hacks, DIY

LOCKDOWN restrictions have eased but many people still prefer to stay inside their homes for fear of the pandemic — and for those who want to make their time in quarantine as productive as possible, GMA Network Artist Center has an online show just for that.

Called I Know Right or IKR, the show has GMA artists like Max Collins and Myrtle Sarrosa doing life hacks and do-it-yourself (DIY) projects to “encourage viewers to remain efficient while at the same time exercising their creativity,” said a press release.

The show airs every Monday, Wednesday, and Friday at 1 p.m. and 6 p.m. at the GMA Artist Center Facebook page. The show’s viewers can learn how to make their own face shields, how to make face masks at home, and get tips on how to relieve cramps and improve mobility for pregnant women using household items.

Aside from the online show, GMA also launched the pilot episode of a virtual roundtable series called How Do You Feel?, touted as a safe space for artists to talk about how they feel.

“It’s an honest and engaging conversation between actors,” the network said of the show on its Facebook page.

The first episode, which aired on June 6, saw seasoned actors Gabby Eigenmann, Chynna Ortaleza, and Benjamin Alves sharing their thoughts and insights on acting, how to deal with pressure, and how to bring your best self on the set, with up and coming actors Elle Villanueva, Sophia Senoron, and Psalms David. The conversation was facilitated by actor and coach Ana Feleo.

A replay of the roundtable can be viewed on the Facebook page. — ZBC

PLDT, Smart products now for same-day home delivery via Grab

PLDT, Inc. and Smart Telecommunications, Inc. have partnered with Grab Philippines for the quick delivery of their products straight to the homes of their customers within 24 hours.

“Starting Monday, June 8, 2020, PLDT Home customers in the Greater Metro Manila area can order PLDT Home Wifi Prepaid units through the PLDT Home website and get their units delivered via the Grab Express delivery service,” PLDT and Grab said in a news release e-mailed to reporters over the weekend.

They said customers can pay for their purchases through debit or credit cards.

PLDT Home and Smart Stores are now accessible through Grab’s on-demand grocery delivery platform, GrabMart.

There will also be an option for Smart prepaid customers to buy load or mobile data packages through the Grab app using the GrabPay wallet.

Smart said more of its products will be made available on the GrabMart platform.

“This is aligned with Smart’s commitment to bring simple solutions and amazing experiences to enrich the digital lives of Filipinos,” PLDT-Smart Senior Vice-President and Consumer Business Customer Development Head Alex O. Caeg was quoted as saying.

Smart President and PLDT Chief Revenue Officer Alfredo S. Panlilio said: “This is part of our overall shift and broader strategy of moving toward online-driven solutions as we ready ourselves for the next stage of the new normal. This partnership extends our reach not only online, but also kicks-off our other strategic initiatives in the space of remote working, e-learning and e-health.”

Grab Philippines President Brian P. Cu said: “We are thrilled to partner with PLDT, Inc. in making the Internet more available to more homes using our superapp services. It has always been Grab’s aim to empower Filipinos to do more everyday by leveraging the use of digital technologies that improve their lives and make them future-ready. Our partnership with PLDT jumpstarts the many initiatives we have to deliver positive and a sustainable impact for the benefit of all Filipinos.”

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a stake in BusinessWorld through the Philippine Star Group, which it controls. — Arjay L. Balinbin

BSP to keep rates steady on risks

BSP
BANGKO SENTRAL ng Pilipinas Governor Benjamin E. Diokno signaled at steady benchmark interest rates amid upside risks to inflation. — BW FILE PHOTO

BENCHMARK interest rates are likely to remain steady even as inflation continues to ease as the central bank wants to be ready in case of a worse fallout from the coronavirus crisis, Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno said.

“The…cuts in the interest rates is meant to help the banks go through this crisis, and in turn, they can help their borrowers — the individuals and the firms — and so we’ll look at the need for it,” Mr. Diokno said in an interview with ABS-CBN News Channel on Monday.

“But at the moment, I think it is better that we maybe hold on to where we are right now so that [when] worst comes to worst, we have additional bullets,” he said.

“We are still looking at the data, but if there’s a need for further loosening, we will apply the full powers of the central bank,” the central bank chief said.

The Monetary Board is scheduled to meet to review its policy settings on June 25.

Mr. Diokno’s latest signal comes after May inflation data released on Friday showed inflation in May eased to a six-month low of 2.1%, following the 2.2% in April and the 3.2% in the same month last year..

The Philippine Statistics Authority said the slower inflation was supported by the decrease in food and transport prices during the month when the country was under lockdown measures to prevent the spread of the virus.

Benchmark rates are currently at record lows as the BSP slashed rates by a total of 125 basis points (bps) this year thus far to cushion the impact of the pandemic on the economy.

The key policy rate or the overnight reverse repurchase rate is currently at 2.75%, while the overnight lending and deposit rates are at 3.25% and 2.25%, respectively.

“There’s still an upside risk [to inflation] and that is mainly the price of oil, which as you know the price of oil has collapsed and that explains partly the lower inflation that month (May)… But now, I guess it’s inching up again,” Mr. Diokno said.

Oil prices have seen some correction since May after major oil exporters agreed to cut their production last month by 10 million barrels per day amid slow demand due to the pandemic. Last week, the Organization of the Petroleum Exporting Countries together with other allies decided to extend their record oil cuts until end-July.

Aside from the recovery in oil prices, Mr. Diokno said they are also seeing an uptick in commodity prices.

“The price has also gone up in the world market because many rice producers in the Mekong Delta area were impacted by the heavy rain. We are still monitoring these developments, Of course, we are still monitoring the global reaction to the pandemic [and] how soon the global economy will recover,” Mr. Diokno said.

“I’m not saying we’re not gonna cut this year or maybe next policy meeting, but we are closely looking at the data.”

He added that the BSP has room to cut banks’ reserve requirement ratio (RRR) if there is a need for additional liquidity.

“I promised to cut down the requirement…to single digit by the end of my term. It could come sooner,” he said.

Big banks’ RRR was reduced by 200 bps in April to 12% in a bid to boost liquidity during the lockdown. Meanwhile, thrift and rural banks’ reserve ratios are at four and three percent respectively. The Monetary Board gave Mr. Diokno the authority to reduce RRR by up to 400 bps this year.

Aside from RRR cuts, Mr. Diokno said the alternative reserve compliance which allows lenders to use credit to small businesses and large enterprises will also release cash into the financial system.

Economists said keeping rates steady at the Monetary Board meeting this month is “appropriate” and a “wise” move as the central bank has already done its part to stimulate the economy via various monetary actions since the pandemic started.

“It’s getting ready when you need it the most because right now, what has been done has been appropriate. The only thing missing is the fiscal side,” UnionBank of the Philippines, Inc. Chief Economist Ruben Carlo O. Asuncion said in a text message.

“I think this is wise on the part of the BSP, considering that there’s still a lot of uncertainty as to where events will take us,” Security Bank Corp. Chief Economist Robert Dan J. Roces said in a text message.

For now, liquidity is at a good level, he said.

“Since the effect of the last cut will be lagged, the central bank will be closely monitoring this and then decide on the timing, if at all,” he said. Mr. Diokno has often said monetary policy could lag by about six to nine months before fully felt by the financial system.”

Domestic liquidity or M3, the broadest measure of money supply in an economy, grew 13.3% year on year to P13.1 trillion in March, faster than the 10.9% logged in February. — Luz Wendy T. Noble

Enjoy the journey

VIDEO GAME REVIEW
Utawarerumono: Prelude to the Fallen
Sony PlayStation 4/PS Vita

VISUAL Novels (VN) aren’t often seen in Western markets, and for good reason. Most VNs are characterized by design choices that may well appear childish and cartoony to those otherwise predisposed to realism. Add to this often-cheesy stories from the more unimaginative offerings, and it’s easy to see why the genre hasn’t taken off as well as others outside of Japan. That said, a good number of VNs do manage to overcome their seeming fate in the dustbins of mediocrity. Such notable series as Phoenix Wright, Zero Escape, and Danganronpa distinguish themselves from competitors by injecting interesting gameplay elements alongside rich storylines.

From logic-heavy puzzles to action-oriented brawls, the better VNs are not just interesting to read; they likewise feature compelling gameplay. Utawarerumono: Prelude to the Fallen is one such example, distinguishing itself from dregs of the genre by presenting a turn-based strategy system alongside a deliberately textured plot. Certainly, it aims to grip players both ways, and, creditably, tries very hard to do so. Character sprites are done well, though they do tend to overly cater to fan service. Voices are performed admirably, and the story is written and told in such a distinguishing manner that even if the premise of an amnesiac protagonist seems shopworn and generic, it’s still enjoyable to read through.

As a remake of the first release in the trilogy, Utawarerumono: Prelude to the Fallen stays faithful to its source material, save for the deliberate omission of the sex scenes found in the original Japan-only release. It starts with an utter absence of information: The lead character does not know who he is and why he is badly injured. He then strives to decipher his life with the help of kind-hearted characters who all have animal ears and tails, and who are all much stronger than him (thus underscoring his fish-out-of-water situation). How he adapts to his surroundings and subsequently becomes familiar with it form the crux of the game. As he travels around the village, he gets to interact with locals and enriches himself in the process enough to care about collective interests and invest in the progress of the place he now calls home.

To be sure, Utawarerumono: Prelude to the Fallen is an acquired taste. Those not normally predisposed to read pages upon pages of text in a game will find their patience tested. Only after long bouts of expository sequences will battles occur. And, even then, the turn-based sequences feel more like interruptions, however welcome. Make no mistake, though; the combat mechanics are well thought out, if on the easy side. Aesthetic upgrades likewise up the ante, providing ample return on the investment of time. And even as strategy remains crucial to success, it is now complemented by newly introduced elements that underscore the importance of timing in execution.

On the whole, though, Utawarerumono: Prelude to the Fallen’s biggest come-on is its overarching narrative. It’s a VN, after all, and while players may feel empowered with the choices and decisions they make during the game, their actions aren’t weighted and ultimately don’t impact the story and how it proceeds. Interactions take a backseat to the epic tale it wants to tell. Which, understandably, will leave the uninitiated pondering on the purpose of using an interactive medium to embrace a fixed journey, especially during plodding moments.

The good news is that Utawarerumono: Prelude to the Fallen sparkles from the get-go. It’s oozing with polish, with its brilliance shining throughout and evident in its wonderful artistic and stylistic choices. Its characters and settings generate — and, most importantly, keep — interest, and its ideas have merit, especially in the context of the world the game tries to craft. It runs well on the PlayStation 4 Pro, plays smoothly even on the Vita, and offers a captivating tale that, given its capacity for cross saving, can be started and then picked up from where it previously left off on either platform. In this regard, the reward for players doesn’t come when they reach their destination. Rather, it’s enjoyed throughout the journey.

THE GOOD:

  • Outstanding remake
  • Faithful to the source material, but superior in every way
  • Compelling storyline
  • Polished gameplay

THE BAD:

  • Tons of exposition
  • Text-heavy, making it an acquired taste
  • Combat on the easy side

RATING: 8.5/10

POSTSCRIPT: Cygames has a lot of experience under its belt. Though most of its work has been on the mobile front, the titles are not the typical garbage gamers would expect for on-the-go appreciation. They’ve been successful in their own right, possessing the worth and worthiness to claim a loyal base. As proven by, say, the online trading card game Shadowverse and the action-adventure role-playing game Dragalia Lost, it knows its target audience well and delivers exactly what’s wanted. Even collaborations on such popular series as Fire Emblem, Love Live and Fate/Stay Night have thrived. Among all their games though, one stands out.

As gamers who haven’t lived under a rock all this time know only too well, Granblue Fantasy is a release that can be played on both the mobile phone and the personal computer. Though its gacha monetization system echoes that of loot box titles, it has proven to be a robust, well-made, and addictive online RPG. It has done exceedingly well, and not just because it features a colorful cast of weird, diverse, and interesting characters. Renowned Final Fantasy composer Nobuo Uematsu had a hand in its creation, with Squaresoft veteran Hideo Minaba providing art direction.

Considering the success of Granblue Fantasy, Cygames has not surprisingly moved to expand the franchise. Enter Granblue Fantasy Versus, a fighting game starring the beloved characters of its predecessor. Needless to say, there is no reinvention of the wheel; mechanics found in other two-dimensional fighters carry over, and those used to the genre will welcome its utter lack of a learning curve. Playing it is as easy as finding an opponent, mashing buttons, and then moving on.

Granblue Fantasy Versus has a very simple gameplay loop, but one that can prove addictive due to the speedy — make that extremely speedy — nature of its combat. At its heart, it encourages players to experiment with combos, air juggles, and special moves, thus lending the game one of its biggest strengths; the pace never really drags. In fact, fights may sometimes feel a little too fast. Thankfully, crisp gameplay is far from its only plus. Taking cues from its parent franchise, it likewise strives to look good. Characters are drawn very well and blend seamlessly with elegant backgrounds. Animations are likewise top notch, smooth, and free of stutter. In an obvious nod to its source material, everything just oozes quality.

To be sure, Granblue Fantasy Versus isn’t flawless. For instance, issues in network connectivity pop up on occasion. Then again, online battles are invariably problematic; as the multiplayer mode of countless other fighters have shown, even the slightest lag can have a huge impact on gameplay experience. This won’t be a problem for those interested only in its single-player component, of course, but offerings in the fighting genre are best enjoyed by competitive souls who want their competence challenged without regard for geographical limitations.

Roster size is also a fairly telling issue for Granblue Fantasy Versus. Launching with just 11 characters, it lacks the robustness veterans of the genre are accustomed to seeing. True, said characters are fleshed out in terms of combo list and personality. On the other hand, the restrictions in choice — at least until additional fighters are introduced as downloadable content — may wear down on those who expect a larger playable cast.

The aforesaid issues aside, Granblue Fantasy Versus promises hours upon hours of fun taken in bits and pieces. It might not reinvent the genre, but it’s nonetheless one of the most polished fighting games out in the market. Highly recommended.

THE GOOD:

  • Colorful cast of characters
  • Accessible to newcomers but with plenty of depth for longtime veterans
  • Well polished

THE BAD:

  • Roster size might turn away those looking for a larger cast
  • Online experience dependent on network connectivity

RATING: 9.5/10

Make War, from independent publisher No Gravity Games, is exactly what its title says. Its gameplay is based on, well, making war, but with a twist. Players, counted as part of an alien species, are thrust in the middle of markedly bloody battles across the history of mankind. Tasked to meet a specific objective (kill, or, as the case may be, keep alive a certain number of protagonists from one side, for instance) at a time, they are provided the opportunity to place units and advanced weaponry and traps on the fields of combat, and then watch as their plans unfold. Success will bring about another objective. Failure will necessitate a do-over. Rinse and repeat until all goals for the particular theater of skirmish are met. And then it’s on to the next.

Make War’s sandbox setup, presented in pixel art and oddly appropriate heavy-metal music, makes for interesting dynamics. Tactics are required, as not everything — and almost nothing at the start — goes according to plan. Trial and error is a necessity, but rewards come with ample investment of time. More future-tech playthings become available with every achievement, thus expanding options. As anything unfamiliar becomes the first target of either side, alien units can even be used to influence action; dropped at a certain area, they become bait to ensure compliance from would-be victims. Meanwhile, experience makes for a good teacher; soon enough, players are able to make optimal use of the tools at hand.

Make War does its best in wanting things to stay interesting throughout, and, in this regard, the variations help. Up to 45 weapons and 35 units are on tap to keep players engrossed through 160 missions. At some point, the battles progress to a cyberpunk future where even more unknowns await. Before then, though, players will have to stay involved while putting up with technical issues. And while accepting instructions and goals in grammatically incorrect English is one thing, trying to implement plans using a challenging interface is quite another.

Indeed, Make War falters in the translation to the Nintendo Switch. Developer Deqaf Studio ported it over from its outstanding personal computer version with command over the cursor merely transferred to the analog stick of the left Joy-Con — good in theory but serviceable at best in practice. The stilted movement makes for exceedingly slow placement of troops and items. And while touchscreen controls are present, they register only for specific actions. In other words, a neither-here-nor-there setup that requires no small measure of patience is in place.

Thankfully, Make War has enough going for it for players to stay immersed for hours on end. They shouldn’t expect any overarching narrative to tie their efforts together, however. The game is best appreciated in bits and pieces, with each skirmish disjointed from the previous and next ones. For a strategy title bent on underscoring the there and then, the need to focus on the here and now may be a paradox. Outside of that, and, yes, of the technical hurdles, it proves to be worth its $9.99 price tag.

THE GOOD:

  • Unique presentation
  • Compelling gameplay
  • Long on tactics and puzzle solving

THE BAD:

  • Broken text
  • No overarching narrative
  • Technical issues abound

RATING: 7/10

THE LAST WORD: It’s a reflection of the lack of good helicopter flight simulators in the market that Comanche 4 continues to get significant love in this day and age. NovaLogic released it to great fanfare way back in 2001, and, even then, it wasn’t a graphical marvel that projected staying power in an industry where looks can be just as important as feel. Yet, it remains a highly recommended title, and — outside of its inclusion in a Machines of War bundle that gives ample bang for the buck — continues to be offered at full price. That said, age has caught up with it, and publisher THQ Nordic has thankfully taken steps to address the need for a suitable successor.

Enter Comanche, which promises to reinvigorate the franchise with better controls and modern aesthetics designed to meet the demands of a new generation. The involvement of NUKKLEAR, known for its experience in developing networked and connected gaming systems, is a dead giveaway in where it wants to go and what it aims to achieve. And, as an early-access title, it shows ample potential. Its graphics border on the cutting edge; regardless of game mode, players are in for a visual treat. Certainly, painstaking care and effort went into making the game look good, with its three-dimensional models and the various helicopter skins and textures slated to satisfy even the most demanding of palates.

Significantly, Comanche goes well beyond looks. While, as a helicopter sim, it does have a learning curve, it somehow manages to convey a pretty natural feel. It may not be as easy from the get-go as one would expect modern games to be, but it nonetheless presents a control scheme that’s still fairly intuitive. Given enough time, even newcomers to the series will find themselves at home behind the keyboard, zipping through the skies with relative ease. Which, in a nutshell, is half the battle won for a release bent on presenting a realistic facsimile of rotary-wing movement.

If Comanche so far sounds like a neat little package, that’s because it is — with “little” being the operative word. Its tinges of greatness cannot be denied, but its current offerings, while fun to experience, remain modest at best even as it has stayed on course with its latest update. With its single-player mode still a work in progress, it continues to hinge its replay value on networked gameplay. And make no mistake; it’s undoubtedly a fun multiplayer experience. Unfortunately, matchmaking remains iffy at best; depending on region and timezone, the wait can seem too long for comfort, and figures to remain so until it’s released on retail and the number of players online reasonably increases.

The good news is that Comanche’s single-player component continues to be improved. Periodic updates in this regard are pledged; for instance, the latest patch includes a brand-new scenario. Along the way, early adopters will need no small measure of patience and understanding. The potential is there; there can be no denying its polish and the painstaking care put into its development. However, the relative lack of content and absence of a meaningful online population aren’t likely to hold gamers’ attention for more than a few hours at a time. For now, it’s a promise that looks ready to be kept. When is the question.

THE GOOD:

  • Handles extremely well
  • An enjoyable experience, especially for those into flight simulators
  • Developers remain willing to listen to the game’s player base

THE BAD:

  • Lacking in single-player content
  • Multiplayer mode hampered by relative lack of online population
  • Not a real sim
  • Incorporates arcade elements

RATING: 7.5/10

HK property market proves resilient

A CONTROVERSIAL security law that threatens to upend Hong Kong’s status as an Asian financial hub hasn’t slowed the world’s most expensive real estate market.

Dozens of would-be buyers lined up in the rain last week for a chance to bid on 94 apartments in The Campton project in central Kowloon, with prices starting at HK$6.8 million ($872,400) for a one-bedroom condo. All but one of the units were snapped up in eight hours, bringing in HK$880 million for the developer, China Vanke Co.

“When the political system and economy are unstable, cash depreciates quickly,” said a woman named Li, who joined the line in the Tsim Sha Tsui neighborhood. Ms. Li only wanted her surname used discussing the security law as the matter is sensitive. “I want to use up the money for an apartment to preserve value.”

On the surface, it doesn’t seem like the best time to buy a property in Hong Kong. The future of the former British colony is clouded by China’s introduction of the security bill, prompting the US to threaten removal of Hong Kong’s special status.

The legislation is triggering concerns about capital outflow, sparking renewed pro-democracy protests and increasing tensions in a city trying to recover from the pandemic. The economy is expected to see a record 7% contraction this year.

For some residents, the political and economic turmoil make real estate a better bet than other assets. Last month, Sun Hung Kai Properties Ltd. sold 97% of its 298 apartments worth almost HK$2 billion in one day, according to the developer.

Ms. Li, a housewife in her 40s, believes the housing market can withstand a deteriorating economy because the supply of homes will never catch up to demand.

“Hong Kong is a very small place,” she said outside the Vanke project sales center. “If you look at home prices 20 years ago and now, properties bought then are all making huge profits.”

The numbers back her up. Property prices have surged 230% since 2000, data from Centaline Property Agency Ltd. show, bolstering the view of many Hong Kong residents that property will always be a haven. Despite a contracting economy, existing home prices have risen 1.2% this year, and are the highest since November, based on the Centaline index.

Even as prices and sales have dropped in many global markets such as London and Singapore, Hong Kong recorded 6,885 property deals in May, a 12-month high as the city eases pandemic measures. The average price citywide stands at HK$$15,589 per square foot, according to Midland Realty, making it the world’s least affordable market.

HOUSING BURDEN
“Prices have proved remarkably resilient, especially if you consider that the Hong Kong market has become a byword for unaffordability,” said Simon Smith, head of research and consultancy at Savills Plc. Mr. Smith cites persistently low real interest rates and the city’s relatively successful handling of the pandemic to explain the market’s resilience.

In the long-run, limited supply, high demand stemming from a low rate of home ownership and close-to-zero interest rates will support the market, according to a Morgan Stanley report dated May 26 by analysts including Praveen Choudhary.

That’s not to say the property market isn’t without risks. Businesses are shutting down and unemployment is at its highest in a decade. While job losses have mostly been in low-skilled sectors such as retail and catering, the spread of unemployment to professionals will affect their ability to repay mortgages. Savills expects residential home prices to drop 5% in 2020.

The recession and plunging retail sales have also taken their toll on real estate stocks, though they rallied last week. The Hong Kong Hang Seng Properties Index, which includes the city’s biggest developers, has declined 18% this year versus a 12% drop in the benchmark. Developers focusing on residential real estate such as Sun Hung Kai Properties have fared better than commercial landlords.

The doubts about Hong Kong’s future has already prompted some residents to plot emigration to avoid the tightening grip from China. Non-resident bank deposits surged to a record in Singapore last week, an early sign that some people in Hong Kong are moving their money.

For now, home buyers seem willing to look past the risks.

“Hong Kong is one of the most livable cities in China, if not Asia,” said Mr. Smith. “If it maintains its status as a global first-tier city, a gateway to China and an international financial center, there is no reason why both the commercial and residential markets shouldn’t continue to thrive.” — Bloomberg

AboitizPower unit sends P20-M to host communities

A RENEWABLES unit of Aboitiz Power Corp. has remitted a total of P20.1 million of its electrification shares to its host local government units to aid in their pandemic response.

In a statement on Monday, the power firm said Hedcor, Inc., which operates a run-of-river hydropower plant in northern Luzon and Mindanao, relayed the amount under the Energy Regulations (ER) 1-94, which sets aside for host communities a one centavo per kilowatt-hour take from total electricity sales.

The fund will benefit over 12 barangays, four cities, and municipalities in Mindanao, as well as the provinces of Davao del Sur and Bukidnon. It will also be utilized by some barangays in Benguet, Mt. Province, and Ilocos Sur.

The Department of Energy (DoE) in April ordered the use of the electrification funds for the COVID-19 response of local governments, including the procurement of testing kits and medical supplies. This is done in compliance with Republic Act. No. 11469 or the Bayanihan to Heal As One Law.

Meanwhile, AboitizPower said in a stock exchange disclosure that the fine imposed by the Department of Environment and Natural Resources-Pollution Adjudication Board against Hedcor over its alleged pollution of Chico River had already been settled.

The pollution board had found the power company to have illegally dumped soil in the river system during the construction of its Sabangan, Mt. Province hydro-electric power plant.

Hedcor’s contractor Sta. Clara International paid the P200,000 fine for the alleged violation of Republic Act No. 9275 or the Clean Water Act, fulfilling its contractual obligation and liability for the “care of water” during the construction of the plant.

Hedcor and Hedcor Sabangan, Inc. are both owned by Aboitiz Renewables, Inc., a holding company of AboitizPower for its renewable energy portfolio. — Adam J. Ang

Gov’t raises P28B via T-bills on strong demand

THE GOVERNMENT upsized the amount of Treasury bills (T-bills) it accepted on Monday and even opened the tap facility as rates continued to slide amid strong demand for state debt.

The Bureau of the Treasury (BTr) awarded P28 billion in T-bills yesterday, up from the programmed P20 billion, as total tenders reached P96.026 billion or nearly five times the initial offer.

The BTr also opened the tap facility to offer another P10 billion in one-year instruments.

Broken down, the government hiked to P7 billion its award of 91-day T-bills, from the programmed P5 billion and out of tenders worth P21.751 billion. The three-month papers fetched an average rate of 2.038%, down 0.8 basis point (bp) from the 2.046% seen in the auction last week.

It raised another P7 billion via 182-day papers, up from the programmed offer of P5 billion, as total bids reached P19.375 billion or almost four times the amount on the auction block. The average rate for the six-month papers also declined 1.9 bps to 2.099% from 2.118% previously.

The government likewise increased to P14 billion the volume of 364-day securities it awarded from the P10-billion plan as its average yield went down to 2.378% from the 2.42% fetched last week. The one-year papers attracted bids worth P54.9 billion, prompting the Treasury to offer another P10 billion via its tap facility.

Following the auction, National Treasurer Rosalia V. de Leon said government bond yields are still within the level of the headline inflation rate, which slowed to 2.1% in May.

Ms. De Leon said rates of the short-term papers continue to go down as investors’ “bias towards safe haven prevails.”

A bond trader also attributed the decline in rates to cautiousness in the market over the growth outlook for the Philippines this year, as the economy is expected to contract by 2-3.4%.

The trader said they do not expect affected businesses to have a “bullish mindset” on the domestic economy over the near term after bearing the brunt of a stalling economy, “especially if there are no clear plans of government support.”

The government plans to borrow P170 billion from the local market in June: P110 billion via weekly T-bill auctions and the remaining P60 billion in Treasury bonds to be offered fortnightly.

PREMYO BONDS
Meanwhile, Ms. De Leon yesterday said the BTr will finally push through with its first and second quarterly raffle draws for its Premyo Bonds on June 18 following their postponement in March due to the government’s quarantine measures due to the coronavirus pandemic.

“The long wait is over. We will raffle not one (P1 million) but P2 million, and two house and lot on June 18,” she told reporters.

Launched in December, the BTr raised nearly P5 billion via the one-year Premyo bonds. Bondholders were given raffle tickets to participate in the quarterly draws to win prizes worth P4.5 million in total.

The BTr is supposed to conduct one raffle draw per quarter to pick some 116 winners, with one winning the grand prize of P1 million, 15 people receiving P100,000 each and 100 winners of P20,000 billion.

Apart from the cash rewards, the quarterly raffle prize pool will also include condominiums and houses and lots, all net of taxes, fees and charges. — Beatrice M. Laforga

How vulnerable is the Philippines to the health and humanitarian impacts of COVID-19?

How vulnerable is the Philippines to the health and humanitarian impacts of COVID-19?

How PSEi member stocks performed — June 8, 2020

Here’s a quick glance at how PSEi stocks fared on Monday, June 8, 2020.


Drop in US unemployment lifts Philippine stocks

By Denise A. Valdez, Reporter

LOCAL SHARES bounced back on Monday as investors reacted to the unexpected rise in jobs in the United States in May.

The benchmark Philippine Stock Exchange index (PSEi) gained 48.87 points or 0.75% to close at 6,514.00. The broader all shares index added 54.12 points or 1.43% to 3,827.40.

“The local market rallied…on the back of the unexpected 2.5 million job increase in the US last May. The employment data became a source of hope for investors as it pointed towards the recovery of the US economy which in turn could spill over to the rest of the globe,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a text message.

The US ended last week with a report that its economy had started to rebound in May, generating jobs that reduced its unemployment rate to 13.3%. This is an improvement from the record 20.5 million jobs the country lost in April due to lockdowns triggered by the coronavirus disease 2019 (COVID-19) pandemic.

The report resulted in a rally in Wall Street on Friday, with the Dow Jones Industrial Average, S&P 500 and Nasdaq Composite indices climbing 3.15%, 2.62% and 2.06%, respectively.

The improvement in US markets spilled over to the Philippines on Monday, as Mr. Tantiangco said this spurred optimism that other economies may soon recover from the COVID-19 pandemic, too.

Regina Capital Development Corp. Head of Sales Luis A. Limlingan pointed to the same driver for the PSEi’s performance. He said the drop in US unemployment in May similarly resulted in lower gold prices and higher oil prices.

“Here at home, investors also remained optimistic with respect to our local economy amid the relaxed quarantine measures especially in key economic areas such as Metro Manila,” Mr. Tantiangco said.

Five of six sectoral indices were gainers at the close of session: mining and oil surged 427.11 points or 8.63% to 5,374.11; industrials rose 198.32 points or 2.54% to 8,003.07; property added 45.33 points or 1.39% to 3,304.81; holding firms improved 78.69 points or 1.19% to 6,690.40; and services increased 7.16 points or 0.51% to 1,404.07.

The sole declining index was financials, which lost 20.73 points or 1.52% to 1,340.46 at the end of trading.

Value turnover stood at P9.63 billion on Monday from P9.11 billion at the end of Friday’s session. Some 1.18 million issues switched hands.

“Net value turnover today posted P8.96 billion, higher than the year-to-date average of P5.81 billion, implying that the rally had conviction,” Mr. Tantiangco said.

Advancers beat decliners, 157 against 58, while 35 names ended unchanged.

Foreign investors ended up as net sellers, with net outflows amounting to P147.43 million from net inflows of P476.37 million on Friday.

Peso weakens on US jobs data, oil production cuts

THE PESO weakened on Monday as sentiment favored the greenback after data on US jobs as well as the extension of oil production cuts.

The local unit finished trading at P49.90 per dollar on Monday, depreciating by 10 centavos from its close of P49.80 on Friday, according to data from the Bankers Association of the Philippines.

The peso opened Monday’s session at P49.83 per dollar. Its weakest showing was at P49.97 while its intraday best was at P49.80 against the greenback.

Dollars traded dropped to $651.3 million on Monday from the $1.011 billion seen on Friday.

A trader said market sentiment for the peso dimmed after major oil exporters opted to continue production cuts.

“The production cuts in May gave way to some price recoveries so we expect oil prices will continue to be pushed upwards by this move, which may have given that risk-off factor for the peso,” the trader said in a phone call.

Reuters reported that the Organization of the Petroleum Exporting Countries (OPEC)together with Russia and allies decided to extend oil production cuts until end-July.

“Demand is returning as big oil-consuming economies emerge from pandemic lockdown. But we are not out of the woods yet and challenges ahead remain,” Saudi Energy Minister Prince Abdulaziz bin Salman told the video conference of OPEC+ ministers.

The group also called on other countries that have gone beyond their production quotas in May and June such as Nigeria and Iraq to compensate through extra cuts from July to September.

Meanwhile, another trader attributed the peso’s weakness to better US jobs data released late last week.

“The peso weakened following the surprising rebound in US nonfarm payrolls data which reflected new 2.5 million jobs last month,” the second trader said in an e-mail.

The US Labor department reported on Friday that nonfarm payrolls grew by 2.509 million jobs in May after a record decline of 20.7 million in April.

With this, the unemployment rate fell to 13.3% from the post World War II high of 14.7% in April.

The first trader expects the peso to move between the P49.75 to P50 band versus the dollar while the second trader sees the peso moving between the P49.85 to 50.05 levels this Tuesday. — L.W.T. Noble with Reuters

Physical classes banned without COVID-19 vaccine, DepEd says

FACE-TO-FACE school classes won’t open until a vaccine for the coronavirus that has sickened more than 22,000 and killed about a thousand in the Philippines is found, according to the Department of Education (DepEd).

“We will comply with the President’s directive to postpone face-to-face classes until a vaccine is available,” Education Secretary Leonor Briones said in a statement on Monday, taking her cue from President Rodrigo R. Duterte.

The President last month said he would only allow classes once a vaccine for the COVID-19 virus has become available, citing the risk of an outbreak in schools.

Mr. Duterte locked down the entire Luzon island in mid-March, suspending work, classes and public transportation to contain the pandemic. People should stay home except to buy food and other basic goods, he said.

He extended the quarantine for the island twice and thrice for the capital region. The lockdown in Metro Manila has since been eased, but mass gatherings across the nation remain banned.

The Philippines has four levels of lockdowns — enhanced, modified enhanced, general and modified general community quarantine.

Under the so-called new normal, restrictions will be eased and minimum health standards should be observed.

In a taped address aired on Friday, Mr. Duterte again said classes should not be allowed without a vaccine. He also said he doubted the country’s readiness for distance learning.

“Indeed, it is a challenging task for us at the Department of Education to prepare our schools in a different setup but we are committed to our duty to make education available and thriving, even in the most difficult time,” Ms. Briones said.

She also told an online news briefing yesterday he would ask Mr. Duterte to allow face-to-face classes in places that are coronavirus-free.

The Department of Health reported 579 new coronavirus infections yesterday, bringing the total to 22,474.

The death toll rose to 1,011 after eight more patients died, while 107 more patients have gotten well, raising the total recoveries to 4,637, it said in a bulletin.

Of the new cases, 331 were reported in the past three days, while 248 were reported late, DoH said.

Ms. Briones said schools that would be allowed to hold physical classes must follow minimum health standards including reduced class size, she added.

She said the agency has prepared learning programs and modules that will be used online or delivered to students starting August.

Ms. Briones said they were ready to enforce distance learning amid criticism that the country was not ready for this. “We have been doing distance and blended learning for decades,” she said.

The Education chief said DepEd could enforce blended learning, which involves the use of the Internet, printed or digital modules, radio and television.

The agency was also training teachers for the new platform, Ms. Briones said, adding that they have been working with education experts and partners from the private sector to develop, acquire and deploy learning resources.

As of Monday morning, about 6.4 million students have enrolled in public and private schools nationwide, according to data provided by DepEd.

More than 27 million students enrolled in public and private schools, state universities and colleges in the past school year.

Students have until the end of the month to enroll in public schools for the school year that will start on Aug. 24. — Gillian M. Cortez and Vann Marlo M. Villegas

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