SE Asia Stocks-Fall as trade war concerns resurface after Trump adviser quits

* Singapore pares previous day's over 1 pct gains

* Malaysia policy rate announcement later in the day

By Susan Mathew

March 7 (Reuters) - Most Southeast Asian stock markets fell

on Wednesday, tracking broader Asian peers, after a free trade

proponent in U.S. President Donald Trump's administration

resigned, rekindling fears Trump would press ahead with his

protectionist policy.

The departure of economic adviser Gary Cohn sparked renewed

worries Trump may go ahead with his proposed import tariffs on

steel and aluminium, and comes after markets rose in the

previous session on the assumption that growing pressure may

force the U.S. president to rethink the plan.

Trump, however, stuck to his stance, warning the European

Union that it would get hit with a "big tax" for not treating

the United States well when it comes to trade.

"While the world appears to be in a safer place this morning

due to the denuclearisation olive branch offered by North Korea,

the market is no less safe from the wrath of Trump's trade

policies," said Stephen Innes, head of trading for Asia-Pacific

at Oanda.

Officials in the United States, South Korea, Japan and

China, however, responded with caution and guarded optimism to

North Korea's apparent willingness to halt nuclear tests,

following months of insults and threats of war between Trump and

North Korean leader Kim Jong Un.

In Southeast Asia, Singapore shares lost 0.8 percent,

as top lenders DBS Group Holdings and United Overseas

Bank fell over 1 percent each. The market ended

Tuesday up 1.6 percent.

The Malaysian index fell ahead of a policy meeting

by its central bank later in the day, where it is expected to

stand pat on rates.

Indonesia dropped 0.7 percent, with conglomerate

Astra International hitting its lowest in four months

and coal miner Adaro Energy shedding as much as 4.7

percent.

Asia shares ex-Japan were down 0.3 percent.

For Asian Companies click;

SOUTHEAST ASIAN STOCK MARKETS: CHANGE AT 0336 GMT

Market Current Previous Pct Move

close

Singapore 3461.25 3491.92 -0.88

Bangkok 1791.78 1799.06 -0.40

Manila 8342 8360.22 -0.22

Jakarta 6454.019 6500.111 -0.71

Kuala Lumpur 1836.86 1848.37 -0.62

Ho Chi Minh 1125 1120.29 0.42

Change on year

Market Current End 2017 Pct Move

Singapore 3461.25 3402.92 1.71

Bangkok 1791.78 1753.71 2.17

Manila 8342 8558.42 -2.53

Jakarta 6454.019 6355.654 1.55

Kuala Lumpur 1836.86 1796.81 2.23

Ho Chi Minh 1125 984.24 14.30

(Reporting by Susan Mathew in Bengaluru; Editing by Biju

Dwarakanath)