BENGALURU- Jakarta stocks hit their lowest level in 15 months on Friday after MSCI said it will not consider adding three companies linked to a local billionaire to its index constituents, while Manila shares were set for a weekly gain on policy easing bets.
The Indonesian benchmark index dropped as much as 3.2 percent to hit its lowest since November 2, 2023.
PT Barito Renewables Energy PT PetroseaTbk and PT Petrindo Jaya Kreasi led declines on the Indonesian benchmark, dropping 19.9 percent, 20.4 percent and 20 percent respectively.
Philippine stocks posted their best week in nearly four years as investors in the Southeast Asian nation priced in policy easing by the central bank at its next board meeting on February 13.
“We expect BSP to cut the policy rate by 25bps to 5.5 percent in February. Q4 GDP growth came in lower than expected, at 5.2 percent y/y versus consensus of 5.5 percent…Inflation is benign…and well within the central bank’s 2-4 percent forecast range,” Standard Chartered analysts said in a note.
Shares in Singapore gained 0.8 percent, led by a massive near jump in shares of its bourse operator The Singapore dollar was little changed.
Singapore Exchange reported positive earnings on Thursday, following which some brokerages lifted their price targets and ratings on the stock.
Currencies in emerging Asia were mostly stable, as markets realized a sense of calm after being marred by jitters of a global trade war earlier in the week.
The Indonesian rupiah was trading 0.2 percent higher, while the Philippine peso and Indian rupee gained 0.1 percent and 0.2 percent respectively. The Taiwan dollar and Thai baht added 0.2 percent and 0.4 percent each.
