SE Asia stocks gain ahead of Bank of England meeting

Southeast Asian stocks closed up on Thursday, in line with their Asian counterparts, tracking an overnight rally in global oil prices, and on expectations of a rate cut from the Bank of England that would provide further growth stimulus.

The Bank of England is expected to cut its policy rate by at least a quarter percentage point to a record low of 0.25%, to ward off a potential recession following the UK's vote to leave the European Union.

"Global central banks are trying to address the possible impact of global economic slowdown following the Brexit vote. We're going to see a shift of funds from developed economies back to emerging markets," said Lexter Azurin, an analyst with Unicapital Securities in Manila.

"Investors are buying into the growth story of emerging markets and that is why our markets are faring well."

Early Thursday gains in oil prices also boosted investor risk appetite for Asian markets after energy shares led gains in five of the six Southeast Asian indexes.

Wednesday was the first positive day for US equities after a series of loss sessions. US shares gained on the rise in oil prices, and Asian investors factored those in, a Manila-based trader said.

Philippines shares outperformed other markets, and ended higher 1.14%, after snapping two sessions of losses. Oil refiner Petron Corp led the gains.

Vietnam shares pared most of their early gains and ended nearly flat. Saigon Fuel JSC closed up 6.34%.

Malaysia snapped two straight sessions of losses and closed up 0.41%, with a rally in index heavyweights RHB Bank Bhd and Hong Leong Financial Group Bhd.