Philippine shares lead Southest Asia decline

Most Southeast Asian stock markets ended lower on Wednesday tracking regional peers, led by the Philippines as President Rodrigo Duterte reiterated threats to end US-Philippines military pacts.

Philippine shares ended lower for a fifth consecutive session, closing more than 1% lower.

Financials and consumer staples were hurt the most, with conglomerates Ayala Land Inc and JG Summit Holdings, Inc down 1.6% and 1.9%, respectively.

Duterte, adding to his recent tirade against the United States, said that he might end defence treaties with Washington.

The Philippine leader's rhetoric comes in the backdrop of his visit to US-ally Japan, where his delegation is expected to score private-sector deals worth around $2 billion, according to a BusinessWorld report, and has raised concerns among investors.

MSCI's broadest index of Asia-Pacific shares outside Japan slid 0.8% as sentiment weakened by declines in US stocks and a more than 1% fall in oil prices.

"Oil prices are softer and US markets closed on the back foot which also makes Asian equity markets look not particularly upbeat," said Vishnu Varathan, a senior economist with Singapore-based Mizuho Corporate Bank.

The Singapore Index closed 0.9% lower, in a second session of losses, weighed down by energy and consumer stocks.

Oil rig builder Sembcorp Industries Ltd, the biggest loser on the benchmark index, lost nearly 4%.

Investors shrugged off the better-than-expected surge in Singapore's industrial production in September.

Thai shares closed nearly 1% lower, dragged down by energy and industrials, with oil and natural gas refiner PTT Exploration and Production Plc closing 2.1% lower. 

Malaysian stocks were marginally lower, while Vietnam stocks closed down 0.4%.