SE Asia Stocks-Climb on U.S. Fed Chief's testimony; Vietnam up 2.3 pct

* Philippines adds nearly 1 percent

* Fed chief's testimony driving markets - analyst

By Karthika Suresh Namboothiri

July 18 (Reuters) - Southeast Asian stock markets ended

higher on Wednesday, with the Philippines closing at an over

one-month high and Vietnam gaining over 2 percent, as a bullish

outlook from the U.S. Federal Reserve chairman lifted sentiment

in the region.

Fed Chairman Jerome Powell expressed an optimistic view

about the U.S. economy while softening the impact of global

trade risks on the outlook for rate rises.

"Today's market trend is largely being driven by Powell's

confirmation of gradually raising interest rates," said Taye

Shim, head of research at Jakarta-based Mirae Asset Sekuritas.

"This is exactly what the market was looking for."

Philippine shares climbed nearly 1 percent to their

highest close in more than one month.

Real estate company Ayala Land was up 2.9 percent,

while Ayala Corp gained 2.7 percent.

Singapore stocks gained marginally, boosted by the

real estate sector. CapitaLand Ltd rose 1.3 percent.

Malaysia shares climbed for an eighth straight

session, up 0.9 percent, to their highest close in over a month.

CIMB Group Holdings was up 3.2 percent, while

telecom company Axiata Group Bhd rose 4 percent.

Malaysia's annual inflation rate slowed to its lowest in

more than three years in June, after the government abolished a

goods and services tax.

Thai shares rose, buoyed by gains in the energy

sector. PTT Public Co jumped 3.7 percent and IRPC

Public Co was up 4.2 percent.

The Vietnamese index jumped 2.3 percent to mark an

over two-week closing high. Petrovietnam Gas Joint Stock Corp

ended 5.1 percent higher.

Indonesian shares gained 0.5 percent, with Bank

Central Asia up 2.1 percent and Telekom Indonesia

climbing 1.8 percent.

The central bank in Southeast Asia's largest economy is

expected to take a pause in its monetary tightening cycle on

Thursday, a Reuters poll showed.

"Indonesian market is vulnerable to external factors and

solution is out of their control, meaning they can only use

domestic measures to stabilise the economy. They're using

interest rates to minimise the external impact," Shim said.

For Asian Companies click;

SOUTHEAST ASIAN STOCK MARKETS

Change on the day

Market Current Previous close Pct Move

Singapore 3240.5 3239.64 0.03

Bangkok 1635.85 1626.07 0.60

Manila 7451.37 7381.68 0.94

Jakarta 5890.731 5861.508 0.50

Kuala Lumpur 1753.07 1737.28 0.91

Ho Chi Minh 942.39 921.27 2.29

Change on year

Market Current End 2017 Pct Move

Singapore 3240.5 3402.92 -4.77

Bangkok 1635.85 1753.71 -6.72

Manila 7451.37 8558.42 -12.94

Jakarta 5890.731 6355.654 -7.32

Kuala Lumpur 1753.07 1796.81 -2.43

Ho Chi Minh 942.39 984.24 -4.25

(Reporting by Karthika Suresh Namboothiri in Bengaluru;

Additional reporting by Syed Saif Hussain Naqvi; Editing by

Sunil Nair)