EMERGING MARKETS-Asian stocks jump on upbeat factory data, vaccine news

  • Reuters
  • Stock Market News
EMERGING MARKETS-Asian stocks jump on upbeat factory data, vaccine news
Credit: © Reuters.

* Graphic: World FX rates http://tmsnrt.rs/2egbfVh

* Graphic: Foreign flows into Asian stocks https://tmsnrt.rs/3lKhL5I

* Malaysia, Philippine shares see best day since Nov. 10

* Thai shares jump more than 1%

By Shashwat Awasthi

Dec 1 (Reuters) - Philippines and Malaysia spearheaded a rally in emerging Asian equities on Tuesday, as upbeat factory activity across the region and optimism around coronavirus vaccines helped stocks make a roaring start to December.

Shares in Kuala Lampur .KLSE were on track for their best day in three weeks, while those in the Philippines .PSI soared more than 3% after profit-taking plunged equities into the red in the previous session.

The gains rekindled November's spectacular rally, which was broadly supported by easing uncertainty after the U.S. election and hopes of an effective coronavirus treatment.

On Tuesday, data showed activity in China's factory sector accelerated at the fastest pace in a decade in November, while factory activity also grew in Taiwan, Indonesia and the Philippines. think the market recognised the better print of the Philippines Purchasing Managers' Index (of 49.9)," Ruben Carlo O. Asuncion, chief economist at The Union Bank of the Philippines, said of the gains in the country's stocks.

"It was better than the previous month. Although it is not on or above 50, it is still better and the market sees the improvement."

In vaccine updates, U.S. pharmaceutical company Moderna MRNA.O said on Monday it had applied for U.S. emergency authorization for its COVID-19 vaccine and would also seek European approval for the treatment. potential vaccine is definitely a game-changer," said Frank Benmirza, head of Asia equity strategy at Societe Generale (PA: SOGN ), adding that news on timing, production and distribution would be taken positively.

Shares in Indonesia .JKSE , which has seen a record daily spike in coronavirus infections since last week, bounced back from Monday's steep losses to surge as much as 2%.

The country's annual inflation rate accelerated to a five-month high in November, though core inflation eased. data suggests domestic demand has remained weak in Q4, ANZ Research analysts said in a note.

"Weak growth and inflation dynamics back the case for continued policy accommodation, but we expect quantitative easing to be Bank Indonesia's primary tool of support," they said.

Investors also took stock of news that an Indonesian parliamentary panel would likely drop a plan to revise the central bank's law to expand its mandate. Thai baht THB=TH edged higher ahead of the central bank's briefing next week to unveil additional measures to contain the currency, which has firmed more than 4.5% since October. among other currencies were tepid, though the tech-reliant Taiwan's dollar TWD=TP stood out with a more than 1% gain.

HIGHLIGHTS:

** Thailand's three-year benchmark yield is down 1 basis points at 0.61%

** Top gainers on FTSE Bursa Malaysia Kl Index include PETRONAS Chemicals Group PCGB.KL up 9.03%, Tenaga Nasional TENA.KL up 7.74% and Axiata Group AXIA.KL up​ 6.48%

** In the Philippines, top index gainers are GT Capital GTCAP.PS up 6.9%, Manila Electric MER.PS up 6.53% and International Container Terminal Services ICT.PS up​ 6.16%

Asia stock indexes and currencies

at 0654 GMT

COUNTRY FX RIC

FX

FX YTD INDE STOCK STOC

DAILY

%

X

S

KS

%

DAILY YTD

%

% Japan

JPY=

-0.07

+4.09 <.N2 1.34 13.2

25>

3 China

+5.96 <.SS 1.93 13.3

S>

EC>

4 India

INR=IN +0.66

-2.89 <.NS 0.83 7.47

EI>

Indones

IDR=

-0.07

-1.56 <.JK 1.68 -9.4

ia

SE>

1 Malaysi

MYR=

-0.10

+0.29 <.KL 2.53 0.85

a

SE>

Philipp

PHP=

+0.15

+5.41 <.PS 3.21 -10. ines

I>

31 S.Korea

+4.54 <.KS 1.66 19.8

C>

11>

7 Singapo

SGD=

+0.18

+0.40 <.ST 0.26 -12.

re

I>

71 Taiwan

TWD=TP +1.08

+5.58 <.TW 1.19 15.7

II>

4 Thailan THB=TH +0.10

-1.12 <.SE 1.53 -9.4

d

TI>

9

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100

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