SE Asia Stocks - Indonesia near 4-week high as election looms
BANGKOK, July 7 (Reuters) - Indonesia's benchmark index hit a near four-week high on Monday as foreign inflows lifted select large-caps such as Bank Rakyat and Telkom Indonesia , ahead of the presidential election on Wednesday. Investors are awaiting the outcome of the July 9 election, with a clearer political outlook looked set to revive appetite for Indonesian assets, brokers and fund managers said. Dhananjay Phadnis, portfolio manager of Fidelity's FF Indonesia Fund, said the outcome of the election is not expected to change or affect the fund's long-term positive view on Indonesia. "Despite the close race between the two leading candidates, it is important to note that both candidates (Joko Widodo and Prabowo Subianto) have very similar agendas," Phadnis said. Jakarta's composite index rose 1.2 percent to its highest since June 11, building on a 1.3 percent gain last week, when the market marked its first weekly gain in four. The Indonesian rupiah hit a five-week high on Monday. Elsewhere, the Philippine benchmark hit an over 13-month high as property shares such as Megaworld Corp and Ayala Land extended gains amid strong foreign demand for condominiums. The Thai index hovered around a near one-year high as investors sought stocks seen to benefit from infrastructure spending such as Siam Cement while banks were mixed ahead of quarterly earnings due next week. Kasikornbank gained almost 1 percent and Bangkok Bank eased 0.3 percent. Bangkok Bank is expected to report a 14 percent drop in April-June net profit from last year due to slow loan growth and weak non-interst income, broker Maybank Kim Eng Securities said in a report. "Weak earnings momentum may cap BBL's upside," said Maybank's analyst Jesada Techahusdin, rating the stock a 'hold'. Stocks in Singapore and Malaysia were range-bound while shares in Vietnam rose to their highest in almost three months. For Asian Companies click; For South East Asia Hot Stock reports, click; SOUTHEAST ASIAN STOCK MARKETS Change at 0640 GMT Market Current Prev Close Pct Move TR SE Asia Index* 435.35 432.40 +0.68 Singapore 3278.68 3272.25 +0.20 Kuala Lumpur 1890.81 1884.91 +0.31 Bangkok 1504.56 1495.83 +0.58 Jakarta 4964.59 4905.83 +1.20 Manila 7000.44 6962.28 +0.55 Ho Chi Minh 594.45 589.35 +0.87 * The Thomson Reuters South East Asia Index is a highly representative indicator of stocks listed in Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam. (Reporting by Kaweewit Kaewjinda and Viparat Jantraprap; Editing by Sunil Nair)
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