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SE Asia Stocks-Indonesia rises after surprise rate cut; others drift
August 23, 2017 / 4:04 AM / in 3 months

SE Asia Stocks-Indonesia rises after surprise rate cut; others drift

    By Urvashi Goenka
    Aug 23 (Reuters) - Indonesian shares rose on Wednesday,
heading for a second straight session of gains, after the
central bank unexpectedly cut its benchmark policy rate on
Tuesday to boost sluggish lending and growth.
    Bank Indonesia (BI) became the second major Asian economy
after India to cut its policy rate this year, bringing the 7-day
reverse repurchase rate down by 25 basis points to
4.50 percent.
    Nineteen out of 20 respondents polled by Reuters had
expected BI to stand pat on rates.
    Indonesia's main stock index rose as much as 0.5
percent, led by financial and consumer staples stocks with Bank
Central Asia Tbk PT and PT Bank Mandiri
rising about 1 percent each.
    "Real estate and discretionary should benefit
sentiment-wise, though arguably some of this has already been
reflected in equity prices," Morgan Stanley said in a note.
    "Banks is less clear - lower rates should be good for loan
growth and credit quality but that has so far failed to
materialise over the past six rate cuts."
    Meanwhile, other Southeast Asian stock markets traded
sideways, tracking a similar movement in broader Asia shares
, after having started stronger following a
positive lead from Wall Street as positive tax reform comments
from U.S. House Speaker Paul Ryan spurred gains in U.S. shares.

    Singapore shares were flat with United Overseas Bank
 rising as much as 1.2 percent and DBS Group Holdings
 gaining 0.7 percent. 
    The city-state's annual cost price index data is due on
Wednesday. A Reuters poll showed that the all-items consumer
price index in July was expected to have risen 0.8 percent from
a year earlier.
    Vietnamese shares fell as much as 0.2 percent with
consumer staples leading the decline.
    
For Asian Companies click;  

SOUTHEAST ASIAN STOCK MARKETS: Change as of 0355 GMT     
  Change on day                                        
  Market           Current       previous     Pct Move
                                 close        
  Singapore        3263.75       3263.79      0.00
  Bangkok          1572.7        1573.19      -0.03
  Manila           8008.99       8015.93      -0.09
  Jakarta          5889.168      5880.297     0.15
  Kuala Lumpur     1772.7        1774.22      -0.09
 Ho Chi Minh       760.24        761.26       -0.13
                                              
  Change on year                              
  Market           Current       End 2016     Pct Move
  Singapore        3263.75       2880.76      13.29
  Bangkok          1572.7        1542.94      1.93
  Manila           8008.99       6840.64      17.1
  Jakarta          5889.168      5296.711     11.19
  Kuala Lumpur     1772.7        1641.73      7.98
 Ho Chi Minh       760.24        664.87       14.3
 
 (Reporting by Urvashi Goenka; Editing by Subhranshu Sahu)
  

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