SE Asia Stocks-Mostly lower, but Singapore bucks the trend

* Growing worries over euro zone debt upset markets

* KL hits three-month low, Indonesia a 6-week low

By Shihar Aneez

COLOMBO, Feb 8 (Reuters) - Major Southeast Asian stock
markets fell on Monday due to growing worries over the euro
zone's debt problems and the prospect of further turbulence on
world markets, but Singapore bucked the trend.

At a weekend meeting, European ministers tried to reassure
their counterparts in the Group of Seven that the euro zone's
debt crisis was under control and that Greece would stick to
its budget-cutting plan. [ID:nN06216480]

But analysts said Europe needed to go beyond words to
restore confidence among investors that it would prevent a
sovereign default. "Sentiment is very weak," said a
Singapore-based analyst. "I think there will be more downside
than upside in the next few days." Malaysia .KLSE lost 1
percent to hit a three-month low, Indonesia .JKSE eased 1.72
percent, hitting a six-week low, and the Philippines .PSI
fell 0.3 percent to its lowest close since Sept. 23.

But Singapore's Straits Times Index .FTSTI gained 0.4
percent -- recovering from a three-month low after falling 1
percent during the session -- led by a 1.7 percent gain in
Singapore Telecom (STEL.SI) and 1.6 percent in bank DBS
(DBSM.SI).

Hong Kong stocks .HSI slid 0.6 percent, while the MSCI
index of Asia Pacific stocks traded outside Japan
.MIAPJ0000PUS was down 0.02 percent at 0935 GMT after the
close in Singapore.

The Thai index .SETI fell 0.5 percent, recovering from a
2-1/2-month low during the session, led by a 3.6 percent fall
in Bangkok Bank BBL.BK and 2.6 percent drop in top olefins
maker PTT Chemical PTTC.BK.

"The indicators for risk aversion remain cautious," said
Rakpong Chaisuparakul, a strategist at broker KGI Securities in
Bangkok, in a research note. "When coupled with the unstable
politics at home, we see investment sentiment as negative."

The Thai government is bracing for a new round of protests
in Bangkok by supporters of former premier Thaksin Shinawatra
ahead of a Feb. 26 Supreme Court verdict on whether to
confiscate $2.3 billion of his family's assets. [ID:nSGE61305C]

In Kuala Lumpur, financial shares dropped, led by a 1.6
percent fall in CIMB Group (CIMB.KL) and 1.3 percent in Malayan
Banking Bhd. (MBBM.KL).

In Jakarta, index heavyweight Telkom Indonesia (TLKM.JK)
drove the market with a 2.8 percent fall, while market
heavyweight Astra International (ASII.JK) lost 1.9 percent.

The Philippines .PSI lost 0.32 percent, closing at its
lowest in 4-½ months, led by a 4.6 percent fall in Bank of
the Philippine Island (BPI.PS) and 0.8 percent in the country's
biggest firm, Philippine Long Distance Telephone Co. (TEL.PS).

"It's been sluggish today and will continue this way until
there's an upward move in overseas markets. We're still waiting
for some good developments to come out of the U.S. and Europe,"
said Emmanuel Soller, an analyst at Equitiworld Securities.

Vietnam .VNI fell for the second session, losing 0.4
percent as investors booked profits ahead of a long holiday
next week, with Petrovietnam PVD.CM down 2.6 percent and
Vietinbank CTG.HM sliding 0.7 percent.
(Additional reporting by Alex McCaskill in Manila, Kevin Lim
in Singapore, Viparat Jantraprap in Bangkok, and Pham Thi Minh
Hien in Hanoi; Editing by Alan Raybould)