Investors turn cautious over euro debt crisis; PSEi up 0.29%

The main Philippine Stock Exchange index closed a bit higher in cautious trading Friday, as the market took a wait-and-see approach over how institutional funds will take to a debt restructuring deal between Greece and its creditors.   “The market is stable but bogged down by the wait-and-see attitude of investors toward the Greek debt deal,” said Freya Natividad, head of research of F. Yap Securities Inc.   “Investors are waiting for institutional funds’ reaction to the Greek” debt deal, Natividad added.   The PSEi was up 13.90 points or 0.29 percent to close at 4,783.52.   More than 6.226 billion shares valued at P8.080 billion were traded.   Winners led gainers 96 to 72 with 36 issues closing unchanged.   Other markets in the region were also bogged down by Greece's debt problem.   “The euro and shares pulled back on Friday as investors remained concerned about prospects of restructuring Greece's debt and global lenders demanded more steps even after it struck a long-awaited deal on fiscal reforms,” according to a Reuters report.   “Greek political leaders clinched a deal on severe austerity measures and reforms indispensable for a second international bailout in two years, but the country's lenders sought a parliamentary seal of approval before providing any aid,” Reuters noted.   “The agreement, after weeks of wrangling over the terms of the €130 billion ($172.95 billion) bailout, removed the imminent risk of a hard default by Greece, which faces a major bond redemption on March 20,” it added.   F. Yap’s Natividad said the market may continue this wait-and-see approach next week until the Greek debt issue is finally settled. — TJD, GMA News