Southeast Asian stocks subdued

Most Southeast Asian stock markets ended lower on Monday amid concerns of a regulatory crackdown in China, while Vietnam shares closed near a decade high led by real estate and utility stocks. Chinese shares fell as sentiment took a hit from rising bond yields after Beijing stepped up a crackdown on shadow banking and other riskier forms of financing, with higher borrowing costs threatening to squeeze corporate profits.
MSCI's broadest index of Asia-Pacific shares outside Japan rose early in the session tracking Wall Street gains on Friday, but was last down 0.9 percent, slipping further from a 10-year peak scaled on Thursday. Meanwhile, Shanghai shares fell 0.9 percent to a three-month low. Vietnam shares recorded their highest close since December 2007, helped by gains in Vingroup JSC, up 2 percent, and Petrovietnam Gas Joint Stock Corp, up 1.1 percent.
The Philippine index recovered part losses to end marginally lower as gains in real estate and energy stocks were outweighed by losses in the consumer discretionary and staples. "It is more of a continuation of last week's profit-taking," said Fio Dejesus, an equity research analyst at RCBC Securities in Manila.
Heavyweights SM Investments Corp and Ayala Land Inc ended 1.4 percent and 1.1 percent lower, respectively, as investors cashed in after last week's gains. SM Investments climbed 1.9 percent last week while Ayala Land gained 4.1 percent. "Most of our covered stocks are already priced in, with the exception of consumer stocks which still have quite a bit of upside in our view," added RCBC's Dejesus.
Singapore's benchmark index fell 0.2 percent on Monday as lenders DBS Group Holdings and United Overseas Bank Ltd, each lost about 0.7 percent. On the other hand, Malaysian shares added 0.2 percent, helped by gains in telecom and utilities stocks. Electric utility Tenaga Nasional, up 1.2 percent, was the biggest contributor to index gains.
Indonesia's index of its 45 most liquid stocks recovered from an early decline to end the day 0.1 percent higher. A government divestment roadshow in Singapore for brewer Sabeco piqued investor interest though the stock fell 5 percent ahead of the government revealing plans to divest its 90 percent stake.