*
Malaysia's ringgit hits lowest in over a month
*
Thai stocks fall nearly 1%
*
Malaysia GDP growth ahead of estimates
By Mehr Bedi May 12 (Reuters) - Asian stock markets and currencies declined on Friday, tracking losses in Wall Street, after soft economic data from the United States and China amplified fears of a global slowdown. Overnight data showed U.S. jobless claims jumped and producer prices rose at smallest annual increase in over two years, while data from China showed its economic recovery seems to be losing steam, with new bank loans tumbling in April and imports unexpectedly contracting. Most Asian currencies were weighed down by a firm dollar, whose strength analysts attributed to safe-haven demand amid renewed worries over U.S. regional banks. The South Korean won fell 0.6% to a one-week low while the Malaysian ringgit depreciated 0.3%, hitting its lowest levels in over a month. "Asian equities are mostly a sea of red today as the return of USD strength and risk aversion weighed down on investor sentiment," said analysts at UOB Group. Equities in Malaysia were an outlier as the country reported a 5.6% growth in first-quarter gross domestic product, beating analysts expectations. Stocks in Kuala Lampur gained 0.2%. "Today's GDP print highlights the point that economic recovery has started to stabilise," Debalika Sarkar, economist at ANZ Research said. "Any improvement from here on will largely hinge on domestic demand which we believe could stay buoyant while external demand falters." A general election in Thailand on Sunday has cast uncertainty over market there. Thai Stocks fell nearly 1% while the baht lost 0.5%. Many observers expect Sunday's vote to result in the Pheu Thai party led by Paetongtarn Shinawatra - daughter of ex-Prime Minister Thaksin Shinawatra - scrambling to form a coalition with other opposition parties to end the military's domination. Southeast Asia's second-largest economy is also due to post its macroeconomic growth data next week. Analysts polled by Reuters expect the data to show growth picked up in the first quarter aided by revival in tourism and a rebound in private consumption. Indonesia's April trade surplus is forecast to increase from the previous month with imports softening due to less production activities during the holiday of Ramadan, a Reuters poll showed. Stocks in Jakarta fell 0.5% and the Indonesian rupiah dipped 0.2%. Elsewhere in the region, South Korean shares had declined by midday on Friday and were set for a fourth consecutive weekly decline, dampened by a delayed settlement in the U.S. debt ceiling talks.
HIGHLIGHTS:
** Japan core CPI likely re-accelerated in April despite
energy subsidies, according to a Reuters poll
** Biden, McCarthy debt ceiling meeting postponed, spending
cuts on table
** Indonesian 10-year benchmark yields are down 3.4 basis
points at 6.394%
COUNTRY FX RIC FX FX INDE STOCKS STOCKS
DAILY % YTD % X DAILY YTD %
%
Japan -0.17 -2.72 <.N2 0.90 12.62
25>
China <CNY=CFXS +0.03 -0.68 <.SS -1.07 5.98
> EC>
India -0.08 +0.69 <.NS -0.10 0.96
EI>
Indonesi -0.17 +5.56 <.JK -0.48 -1.85
a SE>
Malaysia -0.25 -1.59 <.KL 0.07 -4.64
SE>
Philippi +0.09 -0.07 <.PS -0.98 0.66
nes I>
S.Korea <KRW=KFTC -0.61 -5.25 <.KS -0.63 10.69
> 11>
Singapor -0.07 +0.55 <.ST -0.67 -1.33
e I>
Taiwan -0.07 -0.17 <.TW -0.08 9.65
II>
Thailand -0.49 +1.80 <.SE -0.96 -6.97
TI>
(Reporting by Mehr Bedi in Bengaluru; editing by Simon Cameron-Moore and Varun H K)
