SE Asia Stocks-Rise as weak US data boosts hopes of Fed rate cut
* Malaysia May trade data due at 0400 GMT * Singapore recovers after two lacklustre sessions By Rashmi Ashok July 4 (Reuters) - Southeast Asian stock markets inched higher on Thursday in thin trade, as weak economic data in the United States fuelled hopes of a U.S. Federal Reserve rate cut as early as July, which boosted risk appetite. "Risk-on sentiment returns with sputtering U.S. economic data putting the Fed policy easing back in focus," ING said in a note. "Disappointing services data and still widening trade deficit in the United States has stoked expectations that the Fed is on track to cut policy rates as early as July," it added. Data showed the U.S. trade deficit jumped in May and Sino-U.S. trade tensions helped drive activity in the services sector to a two-year low in June, while private employers added far fewer-than-expected jobs to their payrolls. Singapore's index advanced, after two tepid sessions where the index closed flat. Lender Oversea-Chinese Banking Corporation Ltd gained 0.4% while conglomerate Jardine Matheson Holdings added 0.7%. Malaysia's benchmark traded sideways as winds of caution rose ahead of the release of its May trade data, which is due at 0400 GMT. A Reuters poll showed that its exports likely increased 3.6% in May from a year earlier, faster than the previous month. "Electronics exports are holding up relatively well in face of large declines elsewhere. A stark contrast with Singapore... probably reflects supply chain relocation from Singapore to Malaysia," ING noted. "Even so, it's hard to see Malaysia's electronics exports continuing to defy the global downturn." Vietnam's index was the top gainer in the region, up 0.6%. Joint Stock Commercial Bank for Foreign Trade of Vietnam and Vingroup JSC were among top boosts to the index, rising 2.2% and 0.4% respectively. Thai stocks, the region's sole gainer in the previous session, rose 0.3%. Recent strength in the Thai baht has driven a surge in foreign fund inflows since June. For Asian Companies click; SOUTHEAST ASIAN STOCK MARKETS at 0303 GMT Change on the day Market Current Previous close Pct Move Singapore 3375.6 3367.8 0.23 Bangkok 1743.44 1738.51 0.28 Manila 8101.58 8092.68 0.11 Jakarta 6375.533 6362.622 0.20 Kuala Lumpur 1690.34 1690.05 0.02 Ho Chi Minh 966.02 960.39 0.59 Change so far in 2019 Market Current End 2018 Pct Move Singapore 3375.6 3068.76 10.00 Bangkok 1743.44 1563.88 11.48 Manila 8101.58 7,466.02 8.51 Jakarta 6375.533 6,194.50 2.92 Kuala Lumpur 1690.34 1690.58 -0.01 Ho Chi Minh 966.02 892.54 8.23 (Reporting by Rashmi Ashok in Bengaluru; editing by Rashmi Aich)
