SE Asia Stocks-Philippines drops as GDP shrinks; Thailand falls most
* China's exports unexpectedly rise in April * Thailand falls to lowest in over one week * Vietnam on track for 3rd straight session of gains By Pranav A K May 7 (Reuters) - Philippine shares fell on Thursday after economic growth unexpectedly shrank in the first quarter, while Thailand led losses in the region weighed down by heavyweight financial shares. The Manila bourse fell 0.6% after data showed that gross domestic product (GDP) in the first quarter declined for the first time since 1998 as the coronavirus pandemic shattered domestic demand. The GDP contracted 0.2% in the quarter from the same period last year, compared with the 3.1% expansion expected in a Reuters poll. While GDP contraction in the first quarter was much larger than expected, an even steeper decline is possible in the second quarter, said Stephen Innes, chief market strategist at AxiCorp. The biggest drags on the Philippines index were Security Bank, down 2.5%, and International Container Terminal Services, which fell 3.6%, after net income attributable fell 18% in the first quarter. Markets seemed to shrug off positive data from China, Southeast Asia's biggest trading partner. China's exports came in better-than-expected in April for the first time this year, an encouraging sign for global trade after the COVID-19 pandemic battered demand and disrupted manufacturing supply chains. "China trade data suggests industrial activity is coming alive in China at a much better rate than expected," said Innes. Leading losses in the region, Thai shares fell 0.9% as investors returned from a market holiday. Reinsurance services provider Thaire Life Assurance PCL tumbled up to 8.8%, on tack for its worst day in more than one month, while brokerage UOB Kay Hian Securities Thailand gave up 5.6%. Vietnam stocks rose 1.1%, their highest in more than two weeks, boosted by financials and consumer staples companies. Motor vehicles trader Saigon General Service Corp and Hoa Binh Rubber jumped nearly 7% each and led gains in the index. Financial markets in Singapore, Malaysia and Indonesia were closed on Thursday for the Buddhist holiday of Vesak day. For Asian Companies click; SOUTHEAST ASIAN STOCK MARKETS As at 0406 GMT Change on the day Market Current Previous Pct Move close Bangkok 1266.55 1278.63 -0.94 Manila 5605.2 5639.27 -0.60 Ho Chi Minh 790.83 782.59 1.05 Change so far in 2020 Market Current End 2019 Pct Move Singapore 2591.6 3222.83 -19.59 Bangkok 1266.55 1579.84 -19.83 Manila 5605.2 7,815.26 -28.28 Jakarta 4608.79 6,299.54 -26.84 Kuala Lumpur 1376.93 1588.76 -13.33 Ho Chi Minh 790.83 960.99 -17.71 (Reporting by A K Pranav in Bengaluru; Editing by Amy Caren Daniel)
