SE Asian Stocks-Mostly lower, Vietnam gains for 5th day

By Yvonne Cheong

SINGAPORE, June 17 (Reuters) - Most Southeast Asian stock
markets fell on Tuesday, pulled lower by losses in shares such
as CapitaLand (CATL.SI: Quote, Profile, Research), but Vietnam's main index carved out a
fifth straight gain on news its trading band will be widened on
Thursday.

Singapore .FTSTI was off 0.3 percent after the city-state
posted its sharpest fall in exports since January 2006.
[nSIN280930]

"We expect more weakness this week. We don't like the
inflation figures in the U.S.," said equity sales trader Joe
Tiong at Phillip Securities in Singapore. "Our export figures
didn't look good either. I'd think it's a sign of the economy
getting affected due to global weakness."

Shipping firm Neptune Orient Lines (NEPS.SI: Quote, Profile, Research) dropped 4.5
percent, while property heavyweight CapitaLand (CATL.SI: Quote, Profile, Research) fell
3.1 percent after a Credit Suisse report said a global slowdown
and lower rents would hold back shares in the sector.
[nSIN293794]

Rival City Developments (CTDM.SI: Quote, Profile, Research) slipped 2.1 percent.

In Vietnam, the VNI index .VNI advanced 1.7 percent in
its biggest one-day gain since it started recovering from a
6-week slide last Wednesday. The index has slumped nearly 60
percent this year, making it the worst performer in the world,
as the emerging economy struggled with double-digit inflation
and growth concerns.

The trading band is to be extended to 3 percent from 2
percent as the market has been recovering. [nSP263161]

"Widening the band may have a big impact on upcoming
sessions. However, the market will have a firm uptrend once
macroeconomic difficulties are solved," said Vo Quoc Khanh,
head of research at FPT Securities.

The Philippine index .PSI gained 0.6 percent, despite job
figures indicating a slowing economy, but Malaysia .KLSE and
Indonesia .JKSE both fell 0.8 percent, while Thailand .SETI
lost 1.3 percent as banks suffered amid fears that higher
interest rates could hit loan demand.

Siam Commercial Bank SCB.BK and Kasikornbank KBAN.BK
gave up 1.9 and 2 percent, erasing the previous day's gains,
while top lender Bangkok Bank BBL.BK fell 0.8 percent.

Energy shares PTT PCL PTT.BK and PTT Exploration and
Production PTTE.BK dropped 1.3 percent and 2.8 percent
respectively as world oil prices eased CLc1, but coal miner
Banpu BANP.BK gained 1.5 percent to a record high on optimism
about higher profits.

Political uncertainty and inflation worries weighed on
Malaysian stocks, as the country's Premier Abdullah Badawi
remained ambiguous about when he will handover power
[nKLR283563] and analysts forecast inflation rising to a
16-month high. [nKLR278613]

State utility Tenaga Nasional (TENA.KL: Quote, Profile, Research) fell 2.4 percent,
while lenders Bumiputra Commerce (BUCM.KL: Quote, Profile, Research) and Maybank
(MBBM.KL: Quote, Profile, Research) fell 2.2 and 1.4 percent.
(Additional reporting by Pham Hong Hanh, Editing by Ian
Geoghegan)