SE Asia Stocks-Most fall on U.S. rate hike worries, weak China factory data

* Philippines down about 1.5 pct, biggest loser in region

* Singapore extends fall into second session

By Aditya Soni

Feb 28 (Reuters) - Most South East Asian stock markets fell

on Wednesday as the U.S. Federal Reserve chairman's comments

brought back fears of faster interest rate hikes in the United

States, and weak manufacturing data from China and Japan revived

worries about global growth.

Fed Chairman Jerome Powell expressed optimism about the U.S.

economy on Tuesday and said recent data had strengthened his

confidence on inflation, prompting increased bets that the U.S.

central bank will squeeze in a fourth rate hike this year.

Although Asian markets are quite sensitive to U.S. rate

increases, strong economic growth in the region is expected to

attract steady inflows, said Manny Cruz, an analyst with Asiasec

Equities Inc in Manila.

Data released earlier on Wednesday showed growth in China's

manufacturing sector in February slipped to the weakest in over

1-1/2 years, resurrecting concerns of a sharper-than-expected

slowdown in the world's second biggest economy.

China is one of the biggest trade partners of Southeast

Asian nations.

MSCI's broadest index of Asia-Pacific shares outside Japan

sank 1.1 percent after Wall Street suffered on

Tuesday its biggest drop since a selloff three weeks ago.

Philippines shares declined 1.4 percent, the most

among regional markets, with industrial and real estate stocks

leading the fall.

Conglomerate SM Investments Corp dropped 3.1

percent, while Ayala Land Inc dipped 3.3 percent.

Singapore shares fell 0.6 percent, extending their

decline into a second session, dragged almost entirely by

financials.

DBS Group Holdings, the city-state's biggest stock

by market capitalisation, fell 1.2 percent and accounted for

most of the decline, while Oversea-Chinese Banking Corp Ltd

slipped 2 percent.

Malaysian shares fell 0.8 percent with AMMB Holdings

Bhd shedding 8.8 percent after the company reported a

30 percent drop in quarterly net profit.

Thai shares were flat with energy and utilities

accounting for most of the decline. PTT PCL declined

1.1 percent, while Siam Cement PCL fell 0.8 percent.

Thailand's annual industrial output slightly beat

expectations as it rose for a third straight month in January,

helped by higher production of cars, petroleum and rubber

products.

For Asian Companies click;

SOUTHEAST ASIAN STOCK MARKETS: Change on day

Market Current Previous close Pct Move

Singapore 3517.94 3540.39 -0.63

Bangkok 1830.13 1830.39 -0.01

Manila 8475.29 8592.38 -1.36

Jakarta 6597.218 6598.926 -0.03

Kuala Lumpur 1856.2 1871.46 -0.82

Ho Chi Minh 1121.54 1119.61 0.17

Change on year

Market Current End prev yr Pct Move

Singapore 3517.94 3402.92 3.38

Bangkok 1830.13 1753.71 4.36

Manila 8475.29 8,558.42 -0.97

Jakarta 6597.218 6,355.65 3.80

Kuala Lumpur 1856.2 1796.81 3.31

Ho Chi Minh 1121.54 984.24 13.95

(Reporting by Aditya Soni in Bengaluru; Editing by Subhranshu

Sahu)