* Vietnam index extend gains to its highest in over three
months
* Financials, Jollibee Foods drag Philippine stocks lower
By Anushka Trivedi
July 24 (Reuters) - Philippine shares slipped on Wednesday
on profit-booking after a recent rally in financials, while most
other Southeast Asian stock markets posted modest gains as
reports of headway in the protracted Sino-U.S. trade
negotiations hoisted risk sentiment.
White House economic adviser Larry Kudlow on Tuesday called
it a good sign that top U.S. officials would be travelling to
China to discuss reviving stalled trade talks, and said he
expected Beijing to start buying U.S. agriculture products soon.
Sentiment was also lifted by the upcoming crucial central
bank meetings, where the European Central Bank is expected to at
least offer a nod to easier policy on Thursday, whereas a
quarter-point cut by the U.S. Federal Reserve is all but
confirmed.
"Asia equity markets are feasting on the positive
after-effects from better-than-expected U.S. earnings and the
constructive vibe around the resumption of trade talks, while
the dovish central bank scrim is providing the icing on the
cake," Stephen Innes, Managing Partner at VanguardMarkets.com
said.
Singapore shares .STI , which are among the most vulnerable
to trade war developments in the region, extended gains to edge
up 0.2%.
The city-state also received a boost from prospects of an
easing monetary policy by its central bank after June's
inflation data came in at a more than two-year low. Shares of palm oil producer Golden-Agri Resources Ltd
GAGR.SI scaled 3.5%, while Hutchison Port Holdings Trust
HPHT.SI rose 2.3%.
Vietnam's benchmark index .VNI extended gains to its
highest in more than three months, underpinned by financials.
Malaysian stocks .KLSE were largely unchanged, while
government data showed June consumer prices rose at their
fastest pace in more than a year. P8N1QI02Q
Meanwhile, Philippine stocks .PSI shed 0.4%, with
financial stocks dragging the benchmark index lower.
With the country's top three banks being the biggest
laggards in the index, Miguel Ong, a research analyst with AP
Securities said it could be more of profit-taking as financial
stocks led the sector rally in the last couple of sessions.
Bank of the Philippine Islands BPI.PS and biggest lender
by market value BDO Unibank Inc BDO.PS slipped 1.7% and 1.8%,
respectively, while Jollibee Foods Inc JFC.PS dropped 2.4%.
Sentiment towards Jollibee stock was wavering as the Asian
fast-food giant is "expected to perform weakly in the second
quarter, especially the operations of Smashburger - the business
they invested on and acquired is expected to be a drag," Ong
added.
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SOUTHEAST ASIAN STOCK MARKETS AS AT 0405 GMT
Market Current Previous close Pct Move
Singapore 3380.93 3373.13 0.23
Bangkok 1728.61 1724.87 0.22
Manila 8220.2 8251.46 -0.38
Jakarta 6393.793 6403.81 -0.16
Kuala Lumpur 1657.26 1655.67 0.10
Ho Chi Minh 991.51 989.46 0.21
Change so far in 2019
Market Current End 2018 Pct Move
Singapore 3380.93 3068.76 10.17
Bangkok 1728.61 1563.88 10.53
Manila 8220.2 7,466.02 10.10
Jakarta 6393.793 6,194.50 3.22
Kuala Lumpur 1657.26 1690.58 -1.97
Ho Chi Minh 991.51 892.54 11.09