* Philippine Q4 GDP shrinks slightly less than expected
* Vietnam shares plunge most since 2001
* Graphic: World FX rates tmsnrt.rs/2RBWI5E
* Asian stock markets: tmsnrt.rs/2zpUAr4
By Nikhil Nainan
Jan 28 (Reuters) - Indonesia, China and South Korea fell
around 2% and led sharp losses in Asia's emerging stock markets
on Thursday, tracking Wall Street's overnight sell-off.
Stock markets in Taipei Singapore, Bangkok
and Mumbai joined those in Seoul,
Jakarta and Shanghai in declining more than 1%.
U.S. stock suffered its biggest one-day percentage drop in
three months overnight pressured by the U.S. Federal Reserve's
latest statement, a slump in shares of planemaker Boeing Co
and a selling of long positions by hedge funds.
"Fear of the retail marauders seems to have spilled into
Asia this morning," Maybank analysts wrote in a note.
The U.S. Fed left interest rates unchanged, as widely
expected, and flagged a worrying slowdown in the pace of
recovery in the world's largest economy.
The sharp drops in equities supported gains in safe-haven
dollar at the expense of regional currencies. The won
fell 1.4% against the greenback. The rupiah, which is
favoured by foreign investors looking to tap Indonesia's
high-yielding debt, fell 0.25%.
Bullish bets on Asian currencies that had been building in
recent months are now being trimmed, a Reuters poll found, as
the pace of the global recovery comes into question as COVID-19
cases continue to spread and cause disruption.
A flood of cash from stimulus measures to counter the
economic damage from the pandemic have boosted shares in parts
of Asia and stretched valuations. South Korea has jumped nearly
7% this year, on top of the more than 30% jump last year.
The Philippines, however, is the worst regional performer
this year, down about 4%, having lost nearly 9% last
GDP data showed the Philippine economy shrank 8.3% in the
December quarter, slower than the 8.5% expected in a Reuters
poll. Stocks dipped 0.2% on Thursday.
"With only a modest pickup in government outlays expected in
2021 and with the trade balance forecast to remain in deficit,
we do not see a stark pickup in economic activity," said
Nicholas Mapa, ING senior economist for the Philippines.
Vietnam shares plunged 6.7%, their sharpest fall
Malaysian markets were closed for a public holiday.
** Indonesian 3-year benchmark yields are down 1.2 basis
points at 5.178%
** The big short: GameStop effect puts global bets worth
billions at risk
Asia stock indexes and currencies at 0641 GMT
COUNTRY FX FX FX INDEX STOCKS STOCKS
RIC DAILY % YTD % DAILY % YTD %
Japan -0.17 -0.99 -1.53 2.74
China +0.02 +0.73 -1.84 1.00
India -0.21 -0.01 -1.03 -1.13
Indonesia -0.25 -0.21 -2.03 0.10
Malaysia - -0.59 - -2.86
Philippines -0.04 -0.21 -0.17 -4.03
S.Korea -1.36 -2.98 -1.71 6.81
Singapore -0.27 -0.85 -1.16 2.84
Taiwan +1.27 +1.64 -1.82 4.64
Thailand -0.17 -0.20 -0.99 2.34
(Reporting by Nikhil Kurian Nainan in Bengaluru; editing by
Richard Pullin and Amy Caren Daniel)