SET slumps nearly 1%, Indonesia stocks jump 1.5%

SET slumps nearly 1%, Indonesia stocks jump 1.5%

The SET index dropped 0.93% to close below 1,700 points on Monday. (Bangkok Post photo)
The SET index dropped 0.93% to close below 1,700 points on Monday. (Bangkok Post photo)

The Stock Exchange of Thailand index dropped for a second session in three, while Indonesian shares jumped on Monday after data showed Southeast Asia's largest economy grew the fastest in more than four years in April-June.

The SET index lost 15.85 points or 0.93% to 1,696.24, in turnover of 52 billion baht. The market dropped for a second session in three.

Indorama Ventures Plc and Bangkok Dusit Medical Services Plc shedded 5.8% and 3.7% respectively. 

Indonesia's economy grew 5.27% from a year earlier in the second quarter, helped by robust consumption during the Muslim fasting month, and beat a Reuters poll projection of 5.16%.

The stronger growth was driven by an increase in private consumption and government expenditure, which boosted purchasing power, said Leo Putra Rinaldy, an economist at Jakarta-based Mandiri Sekuritas.

"The (GDP) number will provide some relief for both the central bank and the government that has been overseeing rate hikes amid a pressured rupiah and had hiked a cumulative 100bps since May 2018," OCBC Bank said in a note.

The Jakarta SE Composite Index rose to a two-month closing high in heavy trade, led by financials and telecoms.

Telekom Indonesia ended 5.5% higher, while Astra International rose 4.2%.

Among other Southeast Asian stock markets that gained, Singapore rose 0.6% with financials at the helm.

Oversea-Chinese Banking Corp advanced 2% after the lender beat market expectations with a 16% rise in quarterly profit.

Philippine shares closed little changed after declining to a more than two-month low, with losses in industrials and telecommunications outweighing gains in real estate stocks.

SM Investments Corp closed 0.7% lower, while Ayala Land rose 3.6%.

Local investors now await July inflation data ahead of a central bank meeting on Thursday.

The annual inflation likely quickened for a seventh straight month in July due to higher food, fuel and utility costs, according to a Reuters poll.

Asian shares pared gains as Chinese stocks swung into negative territory, dragged lower by the escalating Sino-US trade war.

Do you like the content of this article?
COMMENT (1)