Philippine stocks recovered toward the end of the session to close more than 1 percent higher on Friday, while investors in the region focussed on corporate earnings for future market direction. "Heading into the close, buying activity substantially picked up, pushing the market up to close on its highs as investors positioned themselves for President Duterte's Monday SONA," SB Equities said in a research note.
Shares in the Philippines reversed early losses to close at their highest in more than one month, led by real estate and industrial stocks. The benchmark index gained 1.3 percent this week. Property developer SM Prime Holdings closed up 3.7 percent, while power generator Aboitiz Equity Ventures ended 4.1 percent higher.
"A major point of focus for market participants right now is corporate earnings," said Taye Shim, head of research at Jakarta-based Mirae Asset Sekuritas. Singapore ended 0.64 percent higher, led by financials and real estate shares. The benchmark index was up 0.8 percent for the week.
"Manufacturing-driven economies are actually looking better as compared to their commodity-driven peers due to some uncertainty over commodity prices for the rest of the year," said Shim. United Overseas Bank closed 1.35 percent higher, while real estate investor CapitaLand Ltd closed up 1.36 percent at a near three-month high.
Indonesian shares ended 1.03 percent lower, pulled down by financial and consumer discretionary shares. The benchmark index shed 1.1 percent in its worst week in six. "Recent optimisim over Indonesia's economy has been weighed down with concerns over commodity prices as well as government spending," added Shim. "Investors are waiting to see exactly how the Indonesian economy will navigate these challenges." The index of the region's 45 most liquid stocks ended at a more-than-one-month low. Consumer goods conglomerate Astra International ended down 4 percent at a more-than-four-month low, while Bank Mandiri closed 3.33 percent lower.