EMERGING MARKETS-Thai stocks, baht rise as govt hikes 2021 growth outlook

- Advertisement -


    * Thai stocks hit highest since Oct. 25
    * Indonesia's trade surplus hits record $5.7 bln in Oct
    * Singaporean, Indian stocks flat

    By Arundhati Dutta
    Nov 15 (Businesshala) - Thai stocks and the baht firmed on Monday, after the country's government
upgraded its 2021 growth outlook, while broader equity markets were mixed as investors weighed
retail data and gloomy property sector outlook from top trading partner China.
    Bangkok shares added up to 0.5%, while the baht firmed by 0.3% to hit a
more than two-month high. 
    Data showed the country's economy contracted less than feared in the third-quarter,
prompting authorities to boost their 2021 growth outlook compared with a previous forecast of
0.7%-1.2% expansion due to easing of curbs and resumption of tourism. 
    "One of the major forces driving the baht are more foreign fund inflows into Thai assets due
to brightening economic outlook which could be seen from falling COVID-19 cases or death tolls,"
said Poon Panichpibool, a market strategist at Krung Thai Bank. 
    South Korean shares gained 1% and Taiwanese stocks jumped 0.7%, but
Indonesian and Malaysian equities fell around 0.5% each.
    China reported a rise in industrial output and retail sales in October, despite fresh curbs
to control COVID-19 outbreaks and supply shortages, but the slowing property sector weighed on
the economic outlook. 
    Shanghai stocks ended 0.2% lower.
    "Chinese economy should remain under the current down-cycle in the coming quarters... in
view of the Evergrande saga, a self-fulfilling liquidity crunch has been developing among
Chinese developers, " Macquarie capital analysts wrote in a note.
    "Moreover, exports could slow meaningfully next year due to the high base and the re-opening
globally," they added.      
    Among currencies, the Philippine peso weakened 0.6%, as the country's central bank
said over the weekend that it would continue its accommodative policy stance even if the economy
exceeds the government's growth target this year.
    Taiwanese dollar and Indonesian rupiah, however, firmed 0.2% each.
    Focus will now here
 turn to a meeting between Chinese Premier Xi Jinping and U.S. President Joe Biden later in the
day, with hopes of an easing in ongoing tensions across a range of issues, including tariffs
imposed on China under former President Donald Trump.
    
    HIGHLIGHTS:
    **Indonesian 10-year benchmark yields are down 0.4 basis points at 6.197%
    **Singapore's 10-year benchmark yield is down 2.1 basis points at 1.763%
    **Consumer staples drive Malaysian stock benchmark lower
      
 Asia stock indexes and currencies at 0756 GMT                                            
 COUNTRY        FX RIC      FX DAILY %     FX YTD %    INDEX  STOCKS DAILY %  STOCKS YTD %
 Japan                           -0.09        -9.40                     0.56          8.50
 China                           -0.04        +2.30                    -0.16          1.73
 India                           +0.07        -1.77                     0.11         29.62
 Indonesia                       +0.16        -1.20                    -0.39         10.80
 Malaysia                        +0.10        -3.37                    -0.59         -6.45
 Philippines                     -0.67        -4.26                    -0.55          2.84
 S.Korea                         +0.10        -7.82                     1.03          4.39
 Singapore                       +0.03        -2.24                    -0.05         13.46
 Taiwan                          +0.21        +2.54                     0.66         19.70
 Thailand                        +0.24        -8.46                     0.18         12.94
 

 (Reporting by Arundhati Dutta in Bengaluru; Editing by Rashmi Aich)
  
- Advertisement -

- Advertisement -

,

- Advertisement -

Stay on top - Get the daily news in your inbox

DMCA / Correction Notice

Recent Articles

Related Stories

Stay on top - Get the daily news in your inbox