SE Asia Stocks-Gain as Sino-U.S. trade optimism boosts risk appetite

By Soumyajit Saha

* China, U.S. set for second day of high-level trade talks * World Bank cuts growth forecast for Philippines * Singapore set to close 0.8% higher on-week By Soumyajit Saha Oct 11 (Reuters) - Southeast Asian stock markets opened higher on Friday, with Indonesia leading the gains, as revived optimism over the ongoing Sino-U.S. trade talks boosted investor sentiment. Market sentiment turned positive after a first day of trade talks between top U.S. and Chinese negotiators that Trump characterised as "very, very good." Chances of reaching "early harvest" agreements on issues such as currencies and copyright protections were higher, a U.S. Chamber of Commerce official said, while U.S. President Donald Trump said senior U.S. delegates had "very, very good negotiations with China". "All commentaries coming from the first day of talks seemed to be helping the markets in the region, given this is something everyone was waiting for," said Joel Ng, an analyst with KGI Securities. Banking and resource sectors lifted the Indonesian index to its highest in more than two weeks. Bank Rakyat Indonesia (Persero) gained 0.8%, while petrochemicals company Barito Pacific jumped 4%. An index of Indonesia's 45 most liquid stocks rose 0.8%. Philippine shares hit a two-week high, propped up by gains in banking and real-estate sectors, and were set to end 1.6% firmer for the week. Citing pressure from the U.S.-China trade war, the World Bank on Thursday cut its forecasts for economic growth in the Philippines for 2019 and the next two years. Singapore stocks were poised to mark a weekly gain of 0.8%, with index heavyweight United Overseas Bank rising 1.4%. Malaysian shares edged up after data on Friday showed that the country's industrial production rose 1.9% in August from a year earlier. The rise was a touch below the 2% expansion forecast in a Reuters poll, while July's factory output rose 1.2% on year. For Asian Companies click; SOUTHEAST ASIAN STOCK MARKETS AS AT 0420 GMT STOCK MARKETS Change on the day Market Current Previous Pct Move close Singapore 3110.62 3089.48 0.68 Bangkok 1616.5 1607.5 0.56 Manila 7825.09 7765.03 0.77 Jakarta 6085.168 6023.641 1.02 Kuala Lumpur 1555.49 1551.87 0.23 Ho Chi Minh 988.14 987.38 0.08 Change so far in 2019 Market Current End 2018 Pct Move Singapore 3110.62 3068.76 1.36 Bangkok 1616.5 1563.88 3.36 Manila 7825.09 7,466.02 4.81 Jakarta 6085.168 6,194.50 -1.76 Kuala Lumpur 1555.49 1690.58 -7.99 Ho Chi Minh 988.14 892.54 10.71 (Reporting by Soumyajit Saha in Bengaluru, Editing by Sherry Jacob-Phillips)