SE Asia stocks rise ahead of corporate results; Philippines hits 1-month high

21-Jul-2017 Intellasia | Economic Times | 6:00 AM Print This Post

Most Southeast Asian stock markets rose on Wednesday, in line with Asia, as investors shrugged off concerns about an immediate interest rate hike by the US Federal Reserve and turmoils at the White House to focus on upcoming corporate results.

Asian shares rose as optimism on China’s economy underpinned stocks and commodities, and as investors bet any further tightening in the United States would be slow at best.

US President Donald Trump’s ability to pass promised tax cuts and infrastructure spending took a hit after the collapse of the Republicans’ push to overhaul healthcare, dealing a blow to the dollar, which stayed near multi-month lows hit on Tuesday.

“Investors are positioning themselves for second-quarter earnings due next week,” said Manny Cruz, an analyst with Manila-based Asiasec Equities Inc.

The recent uptrend in regional stock markets points to a better earnings season, he said.

In Southeast Asia, the Philippine index rose for a third consecutive session, led by industrials and real estate stocks.

Property developer SM prime Holdings Inc hit a one-month high, while SM investments rose as much as 0.8 per cent.

“The (Philippine) President (Rodrigo Duterte) is expected to divulge some information about further expansion in the economy in his State of the Nation address next week, which has inspired some regional buying from foreign and local fronts,” Cruz said.

Malaysian shares rose to a near two-week high, as financials gained. CIMB Group posted its biggest intraday per centage increase in about six weeks.

Malaysian consumer prices in June likely rose 3.9 per cent from a year earlier, a Reuters poll showed.

Singapore extended gains into a fifth session, as real estate and financial stocks rose.

DBS Group hit a 17-1/2-year high as the bank announced its first green bond issuance.


Category: FinanceAsia

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