SE Asia Stocks Mostly Rise

Most Southeast Asian stock markets rose on Tuesday, in line with broader global equity markets following a deal to end a US government shutdown, while the US move to slap steep tariffs on certain imports weighed on investor sentiment.

President Donald Trump slapped steep tariffs on imported washing machines and solar panels on Monday, dealing a setback to the renewable energy industry in the first of several potential trade restrictions, Reuters reported.

The decisions were the first of several potential tariff actions that Trump may take in the coming weeks and months.

MSCI’s broadest index of Asia-Pacific shares outside Japan rose as much as 0.8% to a record peak. “The sentiment itself is pretty much favorable for risky assets and plus we still agree to the fact that emerging markets are in the sweet spot in terms of economic growth and the stock market direction,” said Taye Shim, head of research at Mirae Asset Sekuritas. Indonesian shares extended gains into a seventh session, rising as much as 1.3% to a fresh high. Financial and energy stocks led the gains with Bank Central Asia rising as much as 1% and Adaro Energy climbing up to 4.8%. An index of the country’s 45 most liquid stocks rose 1.5% to a record.

Singapore’s FTSE Straits Times Index jumped to a more than 10-year high ahead of inflation data due later in the day. The city-state’s headline consumer price index is expected to rise in December from a year earlier due to higher transport costs, a Reuters poll showed. Financials accounted for most of the gains with DBS Group Holdings gaining as much as 1.7% to a record.

Philippine shares retreated from a record high hit earlier in the day after data showed that the country’s economy grew at a slower-than-expected pace in the fourth quarter of 2017. Financials weighed on the index with Bank of the Philippine Islands shedding as much as 1.9%.

Vietnam’s Ho Chi Minh stock exchange was closed due to technical difficulties, according to a statement posted on the website of the State Securities Commission.