SE Asia Stocks-Philippines extends losses; Indonesia rebounds

Last Updated: Mon, Dec 04, 2017 10:40 hrs

By Nikhil Nainan Dec 4 (Reuters) - Philippine shares fell sharply on Monday, extending last week's losses, while Indonesia bounced back from a selloff in the previous session. Philippine shares tumbled more than 1 percent to a near 12-week low as the passage of a tax bill in the U.S. Senate aided foreign outflows. The U.S. Senate approved a tax overhaul on Saturday, moving Republicans and President Donald Trump a big step closer to their goal of slashing taxes for businesses and the rich. The move could further boost corporate profits and lead to a slew of share buy-backs. "I think because of the recent optimism of the tax reform, you see a temporary allocation of funds which used to be in the Philippine market and other emerging markets going back to the U.S.," said Fio Dejesus, an analyst with RCBC Securities in Manila. Foreign investors sold equities net worth 190.5 million pesos ($3.8 million) in the previous session. Financials and real estate stocks led the losses on Monday, with BDO Unibank Inc and SM Prime Holdings Inc falling 2.4 percent and 1.1 percent, respectively. Meanwhile, Indonesian stocks surged 1 percent, having retreated 1.8 percent on Thursday, driven by strong gains in financials and consumer discretionary stocks. "On Thursday, foreigners net sold about 2 trillion rupiah ($147.9 million), regardless of the MSCI rebalance," said Taye Shim, head of research at Mirae Asset Sekuritas, Indonesia. "I think the fundamentals of Indonesia still remains intact and we are still very optimistic on Indonesian equities." The benchmark index has climbed more than 13 percent so far this year. Indonesia's headline inflation slowed in November, while manufacturing activity expanded marginally, data showed. Bank Central Asia Tbk PT and Astra International Tbk PT rose 2.5 percent and 3.5 percent, respectively. Malaysian stocks slipped 0.4 percent, while data showed the country's factory activity in November was the strongest in 3-1/2 years, lifted by new orders. Singapore shares fell 0.3 percent, weighed down by financials and industrial stocks, with lenders United Overseas Bank and Oversea-Chinese Banking Corp leading the losses. For Asian Companies click; SOUTHEAST ASIAN STOCK MARKETS: CHANGE AT 0413 GMT Change at 0413 GMT Market Current Previous close Pct Move Singapore 3438.28 3449.54 -0.33 Bangkok 1700.86 1699.65 0.07 Manila 8060.74 8144.02 -1.02 Jakarta 6006.387 5952.138 0.91 Kuala Lumpur 1710.92 1717.86 -0.40 Ho Chi Minh 970.39 960.33 1.05 Change so far this year Market Current End 2016 Pct Move Singapore 3438.28 2880.76 19.35 Bangkok 1700.86 1542.94 10.24 Manila 8060.74 6840.64 17.84 Jakarta 6006.387 5296.711 13.40 Kuala Lumpur 1710.92 1641.73 4.21 Ho Chi Minh 970.39 664.87 45.95 ($1 = 13,525.0000 rupiah) ($1 = 50.5350 Philippine pesos) (Reporting by Nikhil Kurian Nainan; Editing by Amrutha Gayathri)

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