* Indonesia, Vietnam enter bear market territory
* Thai stocks see worst session since Oct 2008
* Philippine shares dive to lowest since Feb 2014
By Shruti Sonal
March 12 (Reuters) - Southeast Asian stock markets stumbled
on Thursday, with Indonesia and Vietnam entering bear market
territory, after the United States imposed a temporary ban on
travel from Europe and world health officials declared the
coronavirus a pandemic.
U.S. President Donald Trump suspended all travel from Europe
to the United States for 30 days starting on Friday as he
responded to mounting pressure to take action against the spread
of the virus.
The World Health Organization described the virus as a
pandemic for the first time on Wednesday, warning that Italy and
Iran were now on the frontline of the disease and other
countries would soon join them. "At the crux of the issue is the fear of the prolonged,
widespread coronavirus sustaining its hold on the market,"
Jingyi Pan, market strategist at IG, said in a note.
"Even though we do have substantial support coming through
from governments and central banks alike, the dispersion of the
virus so far continues to mark the risks of dragging the global
economy into recession."
Central banks and governments world over are rolling out
stimulus measures to contain the economic impact of the virus.
The European Central Bank is expected to approve a stimulus
package to support the eurozone economy when it meets later in
the day. However, investors are sceptical about the efficacy of these
measures as the virus continues to extract a heavy human and
economic toll.
In Southeast Asia, Indonesia and Vietnam entered bear market
territory, joining the Philippines and Thailand.
Indonesian stocks .JKSE fell as much as 4.4%, shedding
more than 22% from its Jan. 15 peak, even after the government
announced tax relief measures for manufacturing amid the
outbreak. Vietnam shares .VNI dived as much as 5.7%, falling more
than 23% from its Jan. 22 peak, with Vietjet Aviation JSC
VJC.HM hitting its lowest since December 2017.
Tourism-dependent Thai equities .SETI tumbled over 9% in
their worst session since October 2008, a day after the country
suspended visas on arrival for visitors from 19 countries to
limit the virus spread. Philippine stocks .PSI slumped as much as 6.7% to their
lowest since February 2014, as increasing case of the virus sent
its senate into a lockdown. Singapore stocks .STI fell as much as 4.2% to their
lowest in more than four years, as concerns of recession in the
trade-reliant economy grew. Asian Companies click;
SOUTHEAST ASIAN STOCK MARKETS at 0317 GMT
Change on the day
Market Current Previous close Pct Move
Singapore 2681.42 2783.72 -3.67
Bangkok 1174.08 1249.89 -6.07
Manila 5931.25 6353.26 -6.64
Jakarta 4951.264 5154.105 -3.94
Kuala Lumpur 1427.13 1443.83 -1.16
Ho Chi Minh 767.1 811.35 -5.45
Change so far in 2020
Market Current End 2019 Pct Move
Singapore 2681.42 3222.83 -16.80
Bangkok 1174.08 1579.84 -25.68
Manila 5931.25 7,815.26 -24.11
Jakarta 4951.264 6,299.54 -21.40
Kuala Lumpur 1427.13 1588.76 -10.17
Ho Chi Minh 767.1 960.99 -20.18