SE Asia Stocks-Rise tracking Wall Street; Indonesia hits 2-week high

* Thailand hit over 2-week high

* Malaysia touches 3-month high

* Philippine markets closed

By Sumeet Gaikwad

Aug 27 (Reuters) - Southeast Asian stock markets rose on

Monday, tracking Wall Street's record high on Friday after U.S.

Federal Reserve Chairman Jerome Powell defended the central

bank's rate hike cycle.

Powell made the case that gradual interest rate hikes were

the best way to protect the U.S. economy and signalled more

hikes were coming despite President Donald Trump's criticism of

higher borrowing costs.

"Powell's comments somewhat supported risk sentiment, as the

Fed is unlikely to tighten faster than planned despite inflation

moving up to near 2 percent," Mizuho Bank said in a note.

In early Asian trade on Monday, S&P500 E-mini futures

touched a record high of 2,885, and were last 0.2 percent higher

at 2,882.5. MSCI's broadest index of Asia-Pacific shares outside

Japan was up over 1 percent.

Singapore shares rose 0.6 percent, driven by

financials. Top lenders DBS Group Holdings and United

Overseas Bank Ltd were up nearly 1 percent each.

Indonesian shares climbed as much as 0.8 percent to

a two-week high, led by materials and telecom stocks.

Telekomunikasi Indonesia led the gains on the

benchmark, rising 2.4 percent while cement manufacturer Semen

Indonesia jumped 6 percent.

An index of the country's 45 most liquid stocks

was up 0.8 percent.

Malaysian shares hit a three-month high and were

last marginally higher with gains in financials offseting losses

in telecom stocks.

Malayan Banking rose 1.5 percent to an over

two-month high, while Axiata Group fell 3.6 percent

after the telecommunications company on Friday posted a

quarterly net loss of 3.36 billion ringgit ($818.51 million),

compared with a profit of 407.2 million ringgit a year earlier.

Thai shares rose to their highest in over two weeks,

helped by gains across the board.

Bank of Ayudhya was among the biggest boost with a

gain of over 3 percent. Oil and gas explorer PTT Exploration and

Production was up 1.4 percent.

Philippine financial markets were closed for a

holiday.

For Asian Companies click;

SOUTHEAST ASIAN STOCK MARKETS: AS AT 0339GMT

Change on the day

Market Current Previous close Pct Move

Singapore 3232.84 3213 0.62

Bangkok 1713.23 1703.82 0.55

Jakarta 6011.52 5968.75 0.72

Kuala Lumpur 1811.69 1808.59 0.17

Ho Chi Minh 992.49 987.05 0.55

Change on year

Market Current End 2017 Pct Move

Singapore 3232.84 3402.92 -5.00

Bangkok 1713.23 1753.71 -2.31

Jakarta 6011.52 6355.654 -5.41

Kuala Lumpur 1811.69 1796.81 0.83

Ho Chi Minh 992.49 984.24 0.84

($1 = 4.1050 ringgit)

(Reporting by Sumeet Gaikwad in Bengaluru; Editing by

Subhranshu Sahu)