​SE Asia Stocks-Most markets fall, Vietnam plunges over 4 pct

Most Southeast Asian stock markets fell on Tuesday with Vietnam declining over 4 percent to a seven-month closing low, while Thailand rose more than 1 percent.

Broader Asian markets also fell amid escalating worries a bitter trade dispute between the United States and major economies could derail global growth.

Investors have been jittery ahead of a July 6 deadline, when the United States is set to slap tariffs on $34 billion worth of Chinese goods that Beijing has vowed to match with tariffs on U.S. products.

In Southeast Asia, Vietnam shares slumped 4.3 percent in moderately heavy trading and posted their lowest close in more than seven months.

“Investors are concerned about the possible return of high inflation and possible capital outflows triggered by higher interest rates in the U.S. Today’s strong selloff was also triggered by margin calls,” said Tran Anh Tuan, chief analyst at Vietcombank Securities.

Real estate and financial stocks were among the top losers with Vinhomes JSC and Vingroup JSC shedding 7 percent each.

Vietnam shares have declined more than 25 percent from a record high hit on April 10.

Indonesian shares plunged 2 percent to their lowest close since mid-May 2017 in broad-based losses.

Lender Bank Central Asia and personal care products maker Unilever Indonesia fell over 2 percent each.

An index of the country’s 45 most liquid stocks declined more than 2 percent.

Thai shares erased early losses and closed 1.2 percent higher, helped by industrial, health care and real estate stocks.

Airports of Thailand rose 2.3 percent, while Bangkok Dusit Medical Services added over 5 percent.

Philippine shares extended gains into a third session and posted a two-week closing high, led by a rally in industrials.

Index heavyweight SM Investments Corp rose 1.7 percent, while Aboitiz Equity Ventures gained 2.7 percent.

Philippine annual inflation likely quickened for a sixth straight month in June, a Reuters poll showed, leaving the door open for a third interest rate hike this year. The data is due this week.

The peso has declined 6.6 percent against the dollar so far this year, making it the second worst performing currency in the region after the Indian rupee.

 

Source:
​​SE Asia Stocks-Most markets fall, Vietnam plunges over 4 pct

About the author  ⁄ AmCham Vietnam

AmCham is an independent association of companies with the objective of promoting trade and investment between Vietnam and the U.S. With two chapters, one in Ho Chi Minh City and one in Hanoi, our membership of 700 companies and 1,500 representatives is unified by a commitment to promote trade and investment between Vietnam and the United States.

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