Southeast Asia stocks largely down

Southeast Asia stocks largely down

Indonesia falls ahead of central bank decision

Customers are seen at a counter inside the Bank Indonesia complex in Jakarta on Indonesia Dec 16, 2015. Indonesian shares fell on Friday ahead of a central bank meeting. (Reuters photo)
Customers are seen at a counter inside the Bank Indonesia complex in Jakarta on Indonesia Dec 16, 2015. Indonesian shares fell on Friday ahead of a central bank meeting. (Reuters photo)

Most Southeast Asian stock markets closed lower on Friday, in line with Asian peers, as investors booked profits ahead of the weekend, while a rally in crude boosted Vietnam and Singapore shares.

Investors were also confused by mixed messages from the US Federal Reserve, with hawkish comments from New York Fed president William Dudley and San Francisco Fed president John Williams clashing with the Fed's July meeting minutes this week saying more data is needed before interest rates can rise.

Markets are awaiting an annual meeting of central bankers from around the world in Jackson Hole, Wyoming, next week, in which Fed chair Janet yellen is likely to cement expectations for a slow pace of rate increases.

Indonesian shares closed lower after two sessions of gains as traders took a pause ahead of a central bank policy meeting, but posted a weekly gain of 0.72%.

The bank formally makes the seven-day reverse repurchase rate its new benchmark on Friday, and a slim majority of analysts believe the rate will be held steady on its debut.

"The consensus is pretty much a 25-basis point cut. But I would argue that it is unlikely. I think the seven-day reverse repo rate (the new benchmark) would stay unchanged at 5.25%," said Taye Shim, an analyst with Daewoo Securities Indonesia.

Philippine shares ended lower, dragged down by banks. SM Prime Holdings Inc and BDO Unibank Inc were among the top losers.

Vietnam shares rose for a third straight session, led by energy stocks such as Petrovietnam Gas Joint Stock Corp, and posted a weekly gain of 1%. 

Brent crude oil prices hit an eight-week high as hopes that producers could agree on measures to support crude buoyed sentiment.

Singapore closed higher as oil and gas stocks such as Sembcorp Industries Ltd gained, but fell 0.82% on the week.

Malaysia dropped as telecom stocks such as Axiata Group Bhd and DiGi.Com Bhd lost ground.

Southeast Asian stock markets

 

 

Current

Previous

% change

Indonesia

5,146.03

5461.45

-0.83

Malaysia

1,687.68

1,694.87

-0.42

Philippines

7,930.75

7952.81

-0.28

Singapore

2,844.02

2,836.98

+0.25

Vietnam

662.28

660.65

+0.25

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