COLOMBO: Most Southeast Asian stock markets extended losses on Thursday, May 5 amid thin volumes as concerns over slow global economic recovery after poor U.S. economic data and expectations of further monetary tightening damped investor sentiment.
Singapore , the region's worst performer this year lost 0.13 percent to a five-week low and Malaysia slid 0.47 percent to its lowest close since March 29 with a net foreign outflow of $39.7 million, bourse data showed.
Despite a 1.15 percent fall in the index, Philippines'' also saw net foreign buying of $288.9 million, its highest for this year, Thomson Reuters data showed, while the Jakarta index bucked the trend with a tad gain of 0.04 percent with $15.7 million inflow.
Vietnam , the region's smallest bourse lost 1.5 percent, while Thailand was closed for a holiday.
Analysts said overall sentiment was hit after poor U.S. economic data showed sharp slowdown in the services sector and less hiring by private companies of the World's biggest economy in April and fears over further monetary tightening moves by China and European Central Bank to curb inflation.
Philippines central bank raised its key policy rate by 25 basis points after trading hours on Thursday to deal with mounting price pressures from higher oil and commodity prices.
"Hawkish central banks in Asia, the latest being the Philippines when it announced a rate hike, remind investors that inflation and economic growth warrant further monetary tightening. So no fun for equity investors," said Song Seng Wun, a Singapore-based regional economist at CIMB-GK Research.
After the market closed, Malaysia's central bank also raised its key policy rate by 25 basis points to 3 percent in a move to cope with rising inflation fuelled by higher food and energy prices.
Poor economic data along with softening commodities, monetary tightening fears and falling U.S. dollar pushed Asian shares outside Japan down for the third consecutive day, moving further away from a three-year high tested last week. '''' In Jakarta, banks fell for a third straight day, but mining shares helped to end the index in green as Indonesia said Southeast Asia's largest economy has expanded by 6.5 percent in the first quarter.
"I think coal sector strengthened due to strong first quarter earning result and medium to long term prospect. Banking sector I would say just a healthy correction after recent rally," said John Teja, director of Ciptadana Securities, in Jakarta.
In Manila, shares conglomerate San Miguel Corp'' plummeted 28.4 percent when they resumed trading after a three-week suspension following its $900 million sale of convertible bonds and deeply discounted shares. - Reuters
Singapore , the region's worst performer this year lost 0.13 percent to a five-week low and Malaysia slid 0.47 percent to its lowest close since March 29 with a net foreign outflow of $39.7 million, bourse data showed.
Despite a 1.15 percent fall in the index, Philippines'' also saw net foreign buying of $288.9 million, its highest for this year, Thomson Reuters data showed, while the Jakarta index bucked the trend with a tad gain of 0.04 percent with $15.7 million inflow.
Vietnam , the region's smallest bourse lost 1.5 percent, while Thailand was closed for a holiday.
Analysts said overall sentiment was hit after poor U.S. economic data showed sharp slowdown in the services sector and less hiring by private companies of the World's biggest economy in April and fears over further monetary tightening moves by China and European Central Bank to curb inflation.
Philippines central bank raised its key policy rate by 25 basis points after trading hours on Thursday to deal with mounting price pressures from higher oil and commodity prices.
"Hawkish central banks in Asia, the latest being the Philippines when it announced a rate hike, remind investors that inflation and economic growth warrant further monetary tightening. So no fun for equity investors," said Song Seng Wun, a Singapore-based regional economist at CIMB-GK Research.
After the market closed, Malaysia's central bank also raised its key policy rate by 25 basis points to 3 percent in a move to cope with rising inflation fuelled by higher food and energy prices.
Poor economic data along with softening commodities, monetary tightening fears and falling U.S. dollar pushed Asian shares outside Japan down for the third consecutive day, moving further away from a three-year high tested last week. '''' In Jakarta, banks fell for a third straight day, but mining shares helped to end the index in green as Indonesia said Southeast Asia's largest economy has expanded by 6.5 percent in the first quarter.
"I think coal sector strengthened due to strong first quarter earning result and medium to long term prospect. Banking sector I would say just a healthy correction after recent rally," said John Teja, director of Ciptadana Securities, in Jakarta.
In Manila, shares conglomerate San Miguel Corp'' plummeted 28.4 percent when they resumed trading after a three-week suspension following its $900 million sale of convertible bonds and deeply discounted shares. - Reuters
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