(Jan 28): Philippine shares ended flat on Monday, retreating from an over 10-month high hit earlier in the session, as investors booked profits ahead of US-China trade talks and Federal Reserve meeting later this week.
Philippine shares have outperformed regional peers so far this year, gaining about 7.9%, helped by cooling inflation, a dovish Fed and hopes of an ease in the country's central bank monetary policy.
Investors now await resolution of US-China trade negotiations as attention shifts to Chinese Vice Premier Liu He's visit to the United States on Jan 30-31 for the next round of talks.
"An open and constructive dialogue is expected, given low-hanging fruits on trade deficit reduction. But a comprehensive deal will elude," said Vishnu Varathan, Head, Economics & Strategy at Mizuho Bank in Singapore, in a note.
Most investors are cautious and therefore "we are seeing profit-taking activity", said Rachelle Cruz, a research analyst at AP Securities in Manila.
The Fed is expected to leave interest rates unchanged after raising them for a fifth time in as many quarters in December.
Markets in Singapore, Indonesia and Malaysia fell as the region's biggest trade partner, China, echoed signs of a slowing global economy after data showed earnings at China's industrial firms shrank for a second straight month in December.
Indonesian shares fell 0.4%, hurt by losses in telecommunication services and financials.
Unilever Indonesia and Bank Mandiri (Persero) were the biggest drag, falling over 2.5% each.
The country's index of 45 most liquid stocks fell about 0.7%.
Malaysian shares slipped 0.2%, as Genting Bhd lost 1%, while Malaysia Airports Holdings fell 1.8%.
Meanwhile, Thai shares rose about 0.1% to close higher for a ninth straight session.
SOUTHEAST ASIAN STOCK MARKETS
Change on the day
|Market||Current||Previous close||% move|
|Ho Chi Minh||912.18||908.88||0.36|
Change so far in 2019
|Market||Current||End 2018||% move|
|Ho Chi Minh||912.18||892.54||2.20|