[Blueboard] Newsbriefs 16 August Afternoon

Simbahang Lingkod ng Bayan slb at admu.edu.ph
Tue Aug 16 16:07:57 PHT 2005

Newsbriefs 16 August Afternoon
Simbahang Lingkod ng Bayan

Minority warns of 10 years of impeach hearings (abs-cbnnews.com)

Minority lawmakers on Tuesday warned the administration that it could face 
10 years of successive impeachment hearings against President Arroyo if 
the House committee on justice agrees to support only the original 
impeachment filed by lawyer Oliver Lozano. 

House Minority Leader Francis "Chiz" Escudero said the insistence of the 
President's lawyers to dismiss the opposition's amended impeachment 
complaint will not stop the opposition from pursuing the charges. 

"Susundin namin ang proseso. Kung sinasabi nila na sampu ang impeachment 
complaint sa Kongreso, maaaring sampung taon na magkaroon ng impeachment 
hearings kung hindi nila pakikingan ang aming hiling (We will obey the 
process. If they are saying that there are 10 impeachment complaints 
before Congress, there could be 10 years of impeachment hearings if they 
don't listen to our request)," he said

Opposition wants Datumanong out as justice panel chief (abs-cbnnews.com)

The opposition bloc in the House of Representatives said Tuesday that 
Maguindanao Rep. Simeon Datumanong should inhibit himself as justice 
committee chairman for alleged statements prejudicial to the impeachment 
complaint against President Arroyo.

According to Para¤aque Rep. Roilo Golez, Datumanong was quoted in ANC's 
"Viewpoint" talkshow saying that the complaint filed by lawyer Oliver 
Lozano exceeds the House rule that an impeachment case can be lodged only 
once a year through the justice committee.

Golez also accused Datumanong of stating that the "Hello Garci" tapes are 
inadmissible as evidence in the impeachment court.
Datumanong, however, said that he will not inhibit himself from the 

"Let us have this source produced here and not let somebody state it for 
him," Datumanong said in reaction to Golez's statement that the justice 
committee chairman's words were caught on tape.

Senate eyes termination date on jueteng probe (abs-cbnnews.com)

Two Senate committees will set this week a termination date on the joint 
committee inquiry on jueteng amid calls from the minority to summon an 
alleged gambling lord and his wife to the hearings, Sen. Manuel Villar 
said Tuesday.

Villar, who heads one of two Senate committees investigating numbers 
rackets operations in the country, said senators will also discuss a 
proposal to summon former Pampanga provincial board member Lilia Pineda 
and suspected gambling lord Rodolfo "Bong" Pineda to the hearings.

Senate Minority Leader Aquilino "Nene" Pimentel Jr. earlier urged the 
Senate investigating panels to summon the Pinedas after jueteng witness 
Michael Angelo linked the two to the alleged bribery of poll officials 
using jueteng money. 

Gov't budget reverts to deficit in July (philstar.com)

MANILA (AFP) - The national government posted a budget deficit in July, 
reversing a surplus in the previous month, Finance Secretary Margarito 
Teves said Tuesday. 

The July deficit amounted to 15.1 billion pesos (270.6 million US 
dollars), compared to a 246 million-peso surplus in June, he told 

He said the deficit was nevertheless below the government's deficit target 
of 17.7 billion pesos for July. 

For the seven months to July, the cumulative budget deficit stood at 82.6 
billion pesos, much lower than its programmed deficit of 116.2 billion 
pesos for the period. 

"We're ahead of our deficit program as of end-July. That's the good news," 
Teves told reporters. 

RP plans tax relief to reduce fallout of soaring oil prices (philstar.com)

MANILA (AFP) - The Philippines plans to abolish excise taxes and trim 
tariffs on imported oil products to mitigate the impact of record-high 
crude prices, Finance Secretary Margarito Teves said Tuesday. 

Excise taxes on diesel, kerosene and bunker fuel oil would be removed 
pending Supreme Court action on a new expanded value-added tax (E-VAT) 
law, Teves said in a statement. 

The court had suspended the implementation of the law on July 1 amid an 
opposition challenge on its legality. The suspended law, among others 
lifted excise taxes on the three oil products. 

If the court upholds the constitutionality of the law, President Gloria 
Arroyo would immediately issue an executive order reducing the import 
tariff on petroleum by two percentage points to three percent, he added. 

Shares close lower on profit-taking (XFN-Asia)

(UPDATE) STOCK prices closed lower for a second straight session, pulled 
down by selling of shares in Philippine Long Distance Telephone Co. (PLDT) 
and Globe Telecom, on concerns that high oil prices may weaken consumer 
demand and thus corporate profits, dealers said. 

They said conjecture that the government may defer the new value-added tax 
(VAT) law, should the Supreme Court lift its freeze order against the 
measure, also weighed on sentiment. 

The composite index ended down 12.41 points or 0.62 percent at 1,993.58 on 
volume of 375.05 million shares worth 931.6 million pesos, after trading 
between 1,986.57 and 2,005.99. 

The broader all-shares index retreated 5.07 points to 1,209.91. 
Decliners beat risers 47 to 27, while 51 stocks ended unchanged.

Weekend Analysis

Interest Rates (August 8  13, 2005)

The 91-day T-bill average auction last week recovered higher by 0.033 to 
5.622%. It reached a high of 5.675% and a low of 5.421%, still near the 
lowest levels in 22 months (near the lowest levels since late September 
2003). Still, the 5.25% lower limit reported last week remains to be a 
strong support.  The comparable 3-month MART1 rate (Bank rates) stood at 
6.16% as of August 10, 2005. The 91-day T-bill average auction rate is 
generally lower than the comparable 3-month MART1 rate by an average of 
0.40 to 0.50 points for the past 7 years (since year 1999). Based on this 
premise, the 91-day T-bill auction average rate for this week could range 
from 5.66% to 5.76%.  

Dollar Peso (August 8  13, 2005)

After reaching an intra-day high of USD/PHP 56.07 last Monday, the peso 
continued to appreciate to an average of 55.835 as of mid-week. Still 
after breaching the 55.89 and 55.79 support levels, the exchange rate 
finally settled at 55.659 as of Friday last week.  According to some 
traders, the market movement may be attributed to the much anticipated 
Supreme Courts ruling on the legality of the E-Vat law before the end of 
this month.   A significant support as of this time is 55.48 and then 
55.25 low posted last June 16, 2005. The downward momentum will remain 
strong as long as the rate does not go back above mid high of 55.865.

Stock Exchange (August 8  13, 2005)

The Philippine Stock Exchange Composite Index (Phisix) closed at 2038.10 
last Friday from last Mondays 1974.83.  The past week had seen constant 
gains as the index rose from day to day.   Based on the technical 
formation of the charts, next target is at the 2051.04 immediate high 
posted last June 6, 2005. On a broader chart/time perspective, any 
sustained breach above 2038 could potentially re-test/target 2089 and then 
the 5-year high of 2172.76 that was posted last March 8, 2005. However, 
before this optimistic scenario happens, the market can expect relatively 
strong resistance initially at around 2040 levels.

     For questions and suggestions, write us:

		   	 Loyola House of Studies
		       Ateneo de Manila University

Tel. No.  426-6101 local 3440/3441	Mailing Address:
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Telefax:  426-5968			1144 Quezon City, Philippines

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