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SE Asia Stocks-End higher on hopes of central banks' stimulus boost

Published 06/19/2019, 05:58 PM
Updated 06/19/2019, 06:00 PM
SE Asia Stocks-End higher on hopes of central banks' stimulus boost
STI
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DBSM
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UOBH
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JKSE
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KLSE
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MAHB
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SETI
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PSI
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BDMN
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AOT
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PTT
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VNI
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SDGU
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* All eyes on Indonesia and Philippines cenbank meetings
* Expect both cenbanks to enact "dovish pause" - ING
analysts
* Singapore leads gains, Thailand closes at eight-month high

By Rashmi Ashok
June 19 (Reuters) - Southeast Asian stocks closed firmer on
Wednesday as European Central Bank President Mario Draghi's
comments indicating the possibility of fresh rate cuts fuelled
hopes of a worldwide wave of central bank stimulus.
Meanwhile, the U.S. Federal Reserve is scheduled to release
a statement later in the day around 1800 GMT, while Philippines
and Indonesia's central banks are set to meet on Thursday to
review monetary policy.
Mario Draghi said on Tuesday the European Central Bank will
ease policy again if inflation fails to accelerate, sparking
hopes that the U.S. Fed would also follow suit. "With increased odds of the Fed easing, we don't think Asian
central banks will resist easing pressure for too long," ING
analysts said in a note.
Analysts, however, expect the central banks of Indonesia and
Philippines to hold steady and enact a "dovish pause", awaiting
further data before making any big moves.
Sentiment was also supported by U.S. President Donald
Trump's confirmation that he would meet his Chinese counterpart
Xi Jinping at the G20 summit in Japan later this month,
indicating that trade talks between the two countries would
restart after a long lull. Leading the gains in the region, Singapore stocks .STI
jumped 1.5% to their best closing level since May 10. Large caps
were the biggest boost, with lenders DBS Group Holdings
DBSM.SI and United Overseas Bank UOBH.SI adding 2.5% and
2.1% to the index, respectively.
Thai stocks .SETI rose 1.3% to hit their highest close in
eight months. Industrials and energy stocks lifted the index,
with Airports of Thailand PCL AOT.BK and PTT PCL PTT.BK
closing up 8.1% and 1.1%, respectively.
Indonesian shares .JKSE ended 1.3% firmer, with material
and financial stocks dominating the gains. Bank Danamon
Indonesia Tbk BDMN.JK gained 8.3%, after marking its best
session in nearly a year.
The Malaysian index .KLSE extended gains, buoyed by
Malaysia Airports Holdings MAHB.KL , while agriculture and food
processor Sime Darby Plantation SIPL.KL ended 3.7% higher.
Philippine stocks .PSI were supported by strength in
industrials, while Vietnam's .VNI index was propelled by
heavyweight property stocks.

For Asian Companies click;

SOUTHEAST ASIAN STOCK MARKETS

Change on the day
Market Current Previous close Pct Move
Singapore 3288.17 3238.73 1.53
Bangkok 1705.98 1683.6 1.33
Manila 8017.01 7922.04 1.20
Jakarta 6339.262 6257.33 1.31
Kuala Lumpur 1666.54 1652.76 0.83
Ho Chi Minh 949.69 944.01 0.60

Change so far in 2019
Market Current End 2018 Pct Move
Singapore 3288.17 3068.76 7.15
Bangkok 1705.98 1563.88 9.09
Manila 8017.01 7,466.02 7.38
Jakarta 6339.262 6,194.50 2.34
Kuala Lumpur 1666.54 1690.58 -1.42
Ho Chi Minh 949.69 892.54 6.40



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