SE Asia Stocks-Philippines leads declines as most trade flat to lower

By Sameer Manekar

* China Sept factory gate prices contract for third straight month * Indonesia edges higher after release of trade data * Philippine cenbank reduces RRR for bonds By Sameer Manekar Oct 15 (Reuters) - Most Southeast Asian stock markets traded in a flat-to-lower range on Tuesday as hopes of a Sino-U.S. trade deal subsided after Beijing indicated further talks were needed, while figures from China underlined the damage felt due to trade pressures. Bloomberg on Monday reported that China wants more talks to hammer out details of the "phase one" trade deal outlined by U.S. President Donald Trump, adding that Beijing may send a delegation led by Chinese Vice Premier Liu He to finalise a written deal. Traders cautioned that sentiment is fragile as the U.S.-China trade war remains a risk to global growth. "The interpretations of what constitutes the trade deal ... is different from both sides. China still wants to talk and the U.S. thinks they had a deal on Friday," Jeffrey Halley, senior market analyst, Asia Pacific at OANDA said. "There has not been a single detail published on the deal." Meanwhile, denting market sentiment further was data, which showed that factory gate prices in China, the biggest trading partner of Southeast Asia, contracted for the third straight month in September, weighed by slowing demand and a long drawn-out trade war with the United States. Leading declines in the region, Philippine stocks marked their worst session in a week, and were on track to snap a three-day winning streak. Consumer and financial stocks were the biggest drags, with index heavyweights SM Investments Corp and SM Prime Holdings down between 0.5% and 1.5% respectively. The Philippine central bank on Tuesday reduced the reserve requirement ratio for bonds issued by banks and quasi-banks to 3% from 6%, as it aims to increase domestic liquidity to support credit growth and the economy. Indonesian stocks edged higher after data showed that exports from Southeast Asia's largest economy declined 5.74% on a yearly basis in September, but the figures came in better than Reuters' expectations of 5.84% decline. Financials accounted for majority of the losses in the index, with PT Central Bank Asia and PT Bank Mandiri (Persero) Tbk declining 0.7% and 1.1% each. Vietnam stocks dipped 0.2%, dragged by real estate and utilities sectors. Vietnam Dairy Products JSC and Vinhomes JSC declined 0.5% and 2.2%, respectively. For Asian Companies click; SOUTHEAST ASIAN STOCK MARKETS Change on the day Market Current Previous close Pct Move Singapore 3123.15 3124.45 -0.04 Bangkok 1626.04 1626 0.00 Manila 7841.67 7884.29 -0.54 Jakarta 6132.517 6126.877 0.09 Kuala Lumpur 1565.36 1567.59 -0.14 Ho Chi Minh 991.78 993.57 -0.18 Change so far in 2019 Market Current End 2018 Pct Move Singapore 3123.15 3068.76 1.77 Bangkok 1626.04 1563.88 3.97 Manila 7841.67 7,466.02 5.03 Jakarta 6132.517 6,194.50 -1.00 Kuala Lumpur 1565.36 1690.58 -7.41 Ho Chi Minh 991.78 892.54 11.12 (Reporting by Sameer Manekar in Bengaluru; Editing by Sherry Jacob-Phillips)