SINGAPORE, June 22 — South-east Asian stock markets trod with caution in thin trading today, while broader Asian shares rose as oil prices recovered from a 10-month low recorded overnight.

Oil prices took heart after data showed US crude and gasoline stockpiles fell, however investors remained cautious over whether Opec-led output cuts would be able to rein in a three-year glut.

Iran's oil minister also commented that members of oil-cartel are considering deeper cuts in production.

“Earlier this week (broader) Asian markets shrugged off the inclusion of MSCI's China A share, but today I think markets are focusing on oil prices having tumbled more than 2 per cent overnight,” said Victor Felix, an equity analyst with Manila-based AB Capital Securities.

Singapore shares rose 0.6 per cent, leading the gains in the region, ahead of inflation and industrial output data due tomorrow.

Singapore's May core inflation likely increased 1.6 per cent from a year earlier, slowing slightly from April's 1.7 per cent, a Reuters poll showed.

Industrial production is expected to rise for the 10th consecutive month year-on-year due to strong output in electronics.

Oversea-Chinese Banking Corporation gained 1.2 per cent and Singapore Telecommunications rose 0.8 per cent.

Indonesia shares edged down 0.1 per cent with Bank Rakyat Indonesia falling 1.3 per cent.

Indonesia today introduced new rules to allow exports of nickel ore and bauxite and concentrates of other minerals under certain conditions, following a 2014 ban on unprocessed ore exports to spur higher value smelting industries.

The new rules were passed after the economy faced a hefty budget deficit and missed its 2016 revenue target by US$17.6 billion (RM75.38 billion).

Philippines shares edged down 0.3 per cent, ahead of its central bank policy meeting later in the day, where the Philippine central bank is expected to leave interest rates unchanged, according to a Reuters poll.

Vientnam shares were flat with a downside bias as gains in the energy sector were offset by losses in financial shares. Real estate sector was the second biggest loser.

Vietnam National Petroleum Group gained 1.9 per cent while Vingroup JSC lost 1.5 per cent.

Indonesia financial markets will be shut tomorrow and next week for public holidays. — Reuters