SE Asia Stocks-Most drop after ECB holds rates steady

By Anushka Trivedi

* Indonesia leads declines hit by weak consumer stocks * Singtel on track for biggest weekly loss in nearly 3 years * Singapore falls ahead of industrial production data By Anushka Trivedi July 26 (Reuters) - Most Southeast Asian stock markets slipped on Friday, with Indonesia leading the declines in the region, as investors offloaded risky assets after the European Central Bank's (ECB) decision to hold interest-rates steady dented sentiment. The ECB chief Mario Draghi on Thursday signalled the need for more monetary stimulus but maintained rates, disappointing doves who now will be focusing on a U.S. Federal Reserve meeting next week. ING in a note warned that the market's tone would be "risk-off" and said "investors continue to digest green shoots of upcoming U.S.-China trade talks amid persisting anxiety about the likely turn economic policies in the developed world take". Indonesian shares fell 1.3% on weakness in financial and consumer stocks, while an index of Jakarta's 45 most liquid stocks fell 1.5%. Cigarette maker PT Hanjaya Mandala Sampoerna Tbk and Bank Central Asia Tbk PT lost 2.7% and 0.9%, respectively. In other news, the country's flag carrier PT Garuda Indonesia (Persero) Tbk PT dipped 1.5% after it restated 2018 results to show it incurred a loss of $175 million rather than a profit. Singapore stocks fell 0.7%, seeing its worst intraday drop in nearly three weeks. Shares of Singapore Telecommunications Ltd traded ex-dividend and were the biggest drag on the index. Singtel dropped 4.3% and was on track for its worst weekly performance in about 3 years. The city-state is due to report industrial production for June later in the day, which is expected to decline 7.9% on a year-over-year basis, according to a Reuters poll. Last week, Singapore logged dismal export data for June, with electronic shipments diving over 30% as the country tussled against tepid global demand and the Sino-U.S. war. The nation's second-quarter GDP also shrank by 3.4%. Philippine shares are on track to snap three sessions of weekly gains, with heavyweights Ayala Land Inc and GT Capital Holdings Inc pressuring the benchmark. Meanwhile, top lender BDO Unibank Inc said its half-yearly net interest income jumped 24% to 56.9 billion pesos. Bucking the trend, Vietnam's main board rose 0.3%. For Asian Companies click: SOUTHEAST ASIAN STOCK MARKETS AS AT 0400 GMT Market Current Previous close Pct Move Singapore 3352.61 3381.26 -0.85 Bangkok 1720.84 1730.9 -0.58 Manila 8216.48 8272.18 -0.67 Jakarta 6319.314 6401.365 -1.28 Kuala Lumpur 1650.67 1656.58 -0.36 Ho Chi Minh 997.37 994.95 0.24 Change so far in 2019 Market Current End 2018 Pct Move Singapore 3352.61 3068.76 9.25 Bangkok 1720.84 1563.88 10.04 Manila 8216.48 7,466.02 10.05 Jakarta 6319.314 6,194.50 2.01 Kuala Lumpur 1650.67 1690.58 -2.36 Ho Chi Minh 997.37 892.54 11.75 (Reporting by Anushka Trivedi in Bengaluru; Editing by Shounak Dasgupta)