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SE Asia Stocks-Most drop on signals of smaller U.S. rate cut

Published 07/22/2019, 12:40 PM
SE Asia Stocks-Most drop on signals of smaller U.S. rate cut
STI
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CMLT
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UOBH
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JKSE
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KLSE
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CIMB
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MXSC
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SETI
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PSI
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INTP
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UNVR
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AEV
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BPI
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AOT
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BEM
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VNI
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* Philippines leads losses in regional market
* Indonesian shares drop most in nearly two weeks
* Thai shares drop after data shows decline in exports

By Anushka Trivedi
July 22 (Reuters) - Most Southeast Asian stock markets
started the week on the backfoot with Philippines leading the
declines, as investors pulled money out of risky assets due to
reduced odds of a double-barrelled U.S. interest rate cut later
this month.
Equities worldwide benefited last week from New York Fed
President's dovish comments that hinted at a half-point rate cut
this month, but hopes were thwarted when his speech was recanted
and qualified as "academic" rather than a policy suggestion.
Wall Street Journal's report on Friday that the U.S. Federal
Reserve was likely to cut rates by 25 bps dashed expectations
further. Markets "will likely trade with a more risk cynical bent
this week as the less dovish Fed narrative continues to sink in"
said Stephen Innes, managing partner at Vanguard Markets, in a
note.
Leading the declines, Philippine shares .PSI posted their
sharpest intraday drop in over three weeks, dented by financials
and utility stocks. The biggest laggards in the index - Bank of
the Philippine Islands BPI.PS and power generator Aboitiz
Equity Ventures Inc AEV.PS lost more than 2% each.
The Singapore index .STI also edged lower, with real
estate giant Capitaland Mall Trust CMLT.SI falling 1.5% and
lender United Overseas Bank Ltd UOBH.SI shedding 1.1%.
Indonesian shares .JKSE dropped most in nearly two weeks
with losses being dominated by consumer stocks.
Unilever Indonesia Tbk PT UNVR.JK dropped 1.3%, while the
country's second-largest cement maker Indocement Tunggal
Prakarsa Tbk PT INTP.JK shed 1.4%.
Meanwhile, Thai shares .SETI dipped shortly after data
showed the country's customs-cleared exports declined for a
fourth straight month in June, down 2.15% from a year earlier,
while imports also contracted for the period. Losses mainly stemmed from the industrial sector as Bangkok
Expressway and Metro PCL BEM.BK subsided 2.7%, while Airports
of Thailand PCL AOT.BK traded 1% lower.
Malaysian shares .KLSE shed previous session's gains to
edge 0.3% lower as losses in telco and financial sectors
weighed. Telecom services provider Maxis Bhd MXSC.KL skid
1.2%, while lender CIMB Group Holdings Bhd CIMB.KL declined
1%.
Bucking the trend, the Vietnam benchmark index .VNI edged
a tick higher.

For Asian Companies click;

SOUTHEAST ASIAN STOCK MARKETS AS AT 0435 GMT

Market Current Previous close Pct Move
Singapore 3357.37 3377.96 -0.61
Bangkok 1730.59 1735.1 -0.26
Manila 8212.49 8270.07 -0.70
Jakarta 6431.791 6456.539 -0.38
Kuala Lumpur 1652.63 1658.19 -0.34
Ho Chi Minh 983.05 982.34 0.07

Change so far in 2019
Market Current End 2018 Pct Move
Singapore 3357.37 3068.76 9.40
Bangkok 1730.59 1563.88 10.66
Manila 8212.49 7,466.02 10.00
Jakarta 6431.791 6,194.50 3.83
Kuala Lumpur 1652.63 1690.58 -2.24
Ho Chi Minh 983.05 892.54 10.14

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