EMERGING MARKETS-S.Korea, Philippines lead Asian stocks lower on China worries

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    * Thai c.bank keeps rates unchanged
    * S.Korean stocks hit near 1-month closing low
    * Philippine stocks snap 6-day winning streak

    By Arundhati Dutta
    Nov 10 (Businesshala) - South Korean and Philippine stocks led
Asian equity markets lower on Wednesday as high crude prices and
inflation readings from China stoked fears of policy tightening,
with a deepening liquidity crisis in the country also weighing
on sentiment.
    South Korean equities lost 1.1%, hitting their
lowest close since Oct. 12. Stocks in Singapore and
Malaysia shed 0.5% and 0.4%, respectively.  
    China's factory gate inflation topped forecasts and hit a
26-year high in October, mainly driven by soaring commodity
prices due to a power crunch.
    Investors were also jittery ahead of a deadline for China
Evergrande Group to make an offshore bond payment,
with even investment-grade debt in the country being sold off.

    "We wait to see what happens, if it's not paid there will be
a negative impact," said Mitul Kotecha, a senior EM strategist
at TD Securities, as there was potential for spillover effects
from the liquidity crunch at Asia's economic powerhouse.
    "The China inflation data didn't help... it continued to add
to concerns over price pressures building."    
    Focus will now turn to U.S. inflation readings later in the
day, which could cement the case for a rate hike there and clash
with the prevailing policy of Asian central banks to hold rates
until their economies stabilise.
    Thai stocks were down 0.3% after the country's
central bank left interest rates at a record low of 0.5%, as
expected. The baht firmed by 0.1%.
    The Bank of Thailand said the economy had bottomed out in
the third quarter of 2021 and entered the recovery phase
following the relaxation of containment measures and the
re-opening of the country. 
    Philippine stocks snapped a 6-day winning run. Data
on Tuesday had shown its economy grew more than expected in the
third quarter, with analysts banking on policy measures to keep
supporting recovery in 2022.
    Currency markets in the region were mixed, with the
Malaysian ringgit weakening 0.1%, while the Philippine
peso strengthened.
    
    HIGHLIGHTS:
    ** Indonesian 10-year benchmark yields are down 0.8 basis
points at 6.157%
    ** Malaysia's 10-year benchmark yield is down 2.6 basis
points at 3.517%
    ** Communication and consumer stocks drag Malaysian equities
lower 
    
    
 Asia stock indexes and currencies at 0732 GMT                                               
 COUNTRY       FX RIC       FX DAILY %    FX YTD %      INDEX    STOCKS DAILY %  STOCKS YTD %
 Japan                           -0.21       -8.71                        -0.61          6.06
 China                           +0.01       +2.11                        -0.41          0.56
 India                           -0.24       -1.55                        -0.40         28.54
 Indonesia                       -0.07       -1.47                         0.10         11.67
 Malaysia                        -0.08       -3.16                        -0.26         -6.58
 Philippines                     +0.22       -4.06                        -0.89          3.31
 S.Korea                         -0.31       -8.02                        -1.09          1.97
 Singapore                       -0.07       -1.97                        -0.49         13.49
 Taiwan                          -0.00       +2.56                         0.10         19.19
 Thailand                        +0.06       -8.49                        -0.13         12.44
 
 (Reporting by Arundhati Dutta in Bengaluru; Editing by Shailesh
Kuber)
  
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