Asean stocks mixed as volumes wane
BANGKOK: Indonesian stocks slid on Wednesday, fretting over a fall in the rupiah to a near 4-1/2-year low and selling in banks continued due to loan growth concerns.
Regional peers traded in a tight range amid uncertainty about policies in the US.
Jakarta’s Composite Index was down 1.5 per cent, extending Tuesday’s 2.3 per cent loss, as weakness in the rupiah further hit sentiment. The index trimmed its year-to-date gain to 1.8 per cent and was among Asia’s underperformers.
Among actively-traded shares, Bank Rakyat Indonesia dropped 3.2 per cent and Bank Mandiri slipped 2.9 per cent.
Stocks in the Philippines and Malaysia slipped into negative territory, reversing their small gains of the previous session. Singapore, Thailand and Vietnam rose modestly.
Trading was relatively light across the region, with volumes in Singapore, Malaysia and Thailand falling to around a third of the full-day averages over the past 30 sessions.
Last week’s rally in the emerging region after the US Federal Reserve delayed reducing its monetary stimulus appeared to be short-lived as some markets would remain vulnerable to Fed policy when it does decide to slow its dollar printing presses.
In Bangkok, selective buying in dividend-yielding stocks such as Advanced Info Service Pcl and Shin Corporation Pcl helped reverse early market losses.
Strategists at broker Phillip Securities pegged support for the broader SET index at 1,400 versus its midday close at 1,423.89.
"The 1400-point support level could be used as a buy-in point to bet on end-of-quarter institutional window dressing ... Cut loss if the SET index is unable to hold above 1,400 points," they wrote in a report.-- Reuters