EMERGING MARKETS-South Korea leads equities sell-off as tech rout worsens

(Updates as at 0630 GMT) * S.Korean shares at lowest since mid-June * Shares decline in India, Indonesia and Malaysia * Rupiah at two-week low; baht down 0.4% * Markets in Taiwan, Philippines closed due to bad weather By Sameer Manekar July 25 (Reuters) - South Korean shares fell to their lowest in six weeks on Thursday, leading declines among broader equities in emerging Asia, after lacklustre earnings from U.S. tech firms triggered a wide sell-off among regional peers. South Korean stocks declined 1.8%, with heavyweight chipmakers Samsung Electronics and SK Hynix sliding 2% and over 9%, respectively. Data showing an unexpected shrinking of South Korea's second-quarter growth also fuelled the sell-off. "While today's weaker-than-anticipated out-turn raises the risk of an earlier Bank of Korea (BoK) move, we think other considerations, including a weak currency and rising house prices, will keep the BoK cautious," Krystal Tan, Asia economist with ANZ, wrote in a note. MSCI's index of Asia emerging markets equities , which has Samsung Electronics and SK Hynix among its top 10 constituents, slipped 0.8% to its lowest since mid-June. Although chip-related stocks in South Korea, Japan, and Taiwan have seen massive outflows over the past few sessions following sharp gains through the year, analysts believe the ongoing sell-off might be overdone. "I think tech weakness is more of a correction than a permanent reversal," said Ben Bennett, Asia-Pacific investment strategist at Legal and General Investment Management. "I like the structural story still, plus ... South Korea and Taiwan should benefit from lower U.S. yields and a weaker dollar, particularly if it allows local central banks also to cut rates in the coming months." Among macroeconomic data awaited on Friday were figures on second-quarter U.S. economic growth and personal consumption expenditures (PCE) - the Fed's favoured measure of inflation - to validate traders' bets of interest rate cuts this year. Futures now imply a 100% chance of the Federal Reserve easing policy in September. The Indonesian rupiah slipped 0.3% to 16,265 per dollar, its lowest in two weeks, with equities declining 0.6% in their third successive day of losses. In Singapore, the dollar hovered near its prior close, although equities were down 1% as financial stocks took a hit ahead of Friday's monetary policy meeting. The Monetary Authority of Singapore is widely expected to keep policy settings unchanged. Elsewhere, the Thai baht slipped 0.4%, erasing gains from the prior session, and equities fell to a three-week low. The Malaysian ringgit and the Indian rupee added a few pips, while the Chinese yuan strengthened 0.3% to a six-week high. Markets in Taiwan and the Philippines were closed for a second successive day due to bad weather. HIGHLIGHTS: ** China central bank surprises by lending again at lower rates ** Yen at highest since early May; Nikkei slumps 3% ** Floods, flights cancelled as Typhoon Gaemi dumps heavy rain on Manila Asia stock indexes and currencies at 0630 GMT COUNTRY FX FX FX INDEX STOCKS STOCKS RIC DAILY % YTD % DAILY % YTD % Japan +0.76 -7.63 -3.3 13.16 China +0.25 -2.04 -0.62 -3.06 India +0.01 -0.59 -0.31 11.99 Indonesia -0.34 -5.35 -0.53 -0.67 Malaysia +0.09 -1.65 -0.30 11.11 Philippines - -5.45 - 3.66 S.Korea -0.40 -7.03 -1.74 2.09 Singapore -0.02 -1.83 -1.00 5.74 Taiwan - -6.40 - 27.56 Thailand -0.36 -5.58 -0.41 -8.70 (Reporting by Sameer Manekar in Bengaluru; Additional reporting by Ankur Banerjee in Singapore; Editing by Eileen Soreng)