SE Asia Stocks-Most recover as investors expect fewer Fed rate hikes

* Singapore on track to snap three sessions of losses

* Philippines, Malaysia fall

By Shreya Mariam Job

Dec 7 (Reuters) - Most Southeast Asian stock markets picked

up on Friday after two consecutive sessions of losses on

speculation that the U.S. Federal Reserve might stop its

tightening cycle after an expected rate hike at its meeting

later this month.

The Wall Street Journal reported that Fed officials are

considering whether to signal a new wait-and-see mentality after

a likely rate increase at their meeting in December.

Bolstered by the report, the MSCI's broadest index of

Asia-Pacific shares outside Japan nudged up 0.4

percent, following a 1.8 percent fall on Thursday.

However, markets also remained cautious over concerns that

the arrest of a top executive of Chinese tech giant Huawei could

dampen the possibility of a trade deal between Washington and

Beijing.

"The underlying risk sentiment whatever we see for Asian

markets today is relief rather than exuberance," said Vishnu

Varathan, head of economics and strategy at Mizuho Bank in

Singapore.

"I think that (Huawei top executive's arrest) is really

going to be the thing that hems in any semblance of optimism or

relief that the markets gather from the Fed. This (the relief)

can quite easily dissipate when they think of the broader

challenges for an amicable resolution to U.S.-China trade

relations," he added

Singapore stocks climbed 0.5 percent, underpinned by

industrials and consumer non-cyclicals.

Index heavyweight Jardine Matheson Holdings Ltd

gained 2.1 percent, while DBS Group Holdings Ltd edged

up 0.5 percent.

Meanwhile, financial and consumer staples drove the Vietnam

benchmark 0.5 percent higher.

Vietnam Dairy Products JSC rose 1.8 percent and

Joint Stock Commercial Bank for Investment and Development of

Vietnam strengthened 1.3 percent.

Indonesian stocks inched up 0.2, supported by a rise

in consumer discretionary and real estate stocks, while

industrials and materials drove the Thai index 0.3

percent higher.

The Philippines bucked the trend, falling 0.7 percent,

pulled lower largely by industrial stocks.

Losses were dominated by JG Summit Holding Inc and

Ayala Land Inc which shed 3.4 percent and 1.2 percent,

respectively.

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SOUTHEAST ASIAN STOCK MARKETS AS AT 0412 GMT

Market Current Previous close Pct Move

Singapore 3130.26 3115.52 0.47

Bangkok 1657.85 1653.73 0.25

Manila 7481.32 7535.32 -0.72

Jakarta 6129.825 6115.493 0.23

Kuala Lumpur 1680.44 1683.34 -0.17

Ho Chi Minh 959.36 954.82 0.48

Change on year

Market Current End prev yr Pct Move

Singapore 3130.26 3402.92 -8.01

Bangkok 1657.85 1753.71 -5.47

Manila 7481.32 8,558.42 -12.59

Jakarta 6129.825 6,355.65 -3.55

Kuala Lumpur 1680.44 1796.81 -6.48

Ho Chi Minh 959.36 984.24 -2.53

(Reporting by Shreya Mariam Job in Bengaluru; Editing by Sunil

Nair)