* Dividend yielding lifts Thai stocks * Indonesia eases on stricter central bank rule * Philippine hovers below all-time high By Viparat Jantraprap BANGKOK, March 20 (Reuters) - Most Southeast Asian stock markets rose on Tuesday as investors sought counters with attractive dividend yields, but profit taking capped gains, pulling Thailand's benchmark index back from the 1,200-point level for a second day. Thailand's benchmark SET index ended the day up 0.6 percent, while Singapore and Malaysia gained 0.4 percent and 0.3 percent, respectively. Indonesia ended marginally lower, and the Philippines fell 0.5 percent afer hitting an all-time high last week. Vietnam stocks rose 0.5 percent. The Thai market was buoyed by solid foreign inflows, but like other Asian markets it succumbed to selling late in the day as U.S. stock futures pointed to a weaker start on Wall Street. The Thai central bank is widely expected to leave interest rates unchanged at 3.00 percent at a meeting on Wednesday, prompting investors to look to higher dividend plays for better returns. "Thailand is actually holding up quite well ... But the market here is a bit stretched, it's difficult to break the 1,200 level," said Andrew Yates, head of international equity sales at broker Asia Plus Securities in Bangkok. Among bright spots, Thailand's top telecoms firm Advanced Info Service Pcl gained 2.3 percent. The stock is yielding close to 5 percent, and the company has said it would pay an interim dividend of 4.26 baht per share. Indonesian auto distributor PT Astra International Tbk fell 0.92 percent, adding to a combined 3.5 percent loss over the past two sessions after Bank Indonesia announced new credit curbs, including restrictions on auto loans. As global growth worries ease, some fund managers are increasingly favouring North Asian markets over Southeast Asia on expectations that companies which are more exposed to international markets will outperform. Many Southeast Asian markets, viewed as being more defensive against a global slowdown due to their domestic-oriented economies, did better than the rest of Asia last year. "This year, it looks more of a North Asian story. If the world looks a better place then all of a sudden the markets that are open to the global growth environment become very attractive," said Hong Kong-based Markus Rosgen, head of Asia Pacific Equity Strategy at Citigroup. Evaluations in some Southeast Asian markets are also looking frothy. Philippine and Malaysian markets are trading at 19.8 and 17.1 times current price-to-earnings respectively, compared with 14.9 for China and 10.3 for Hong Kong. (Additional reporting by Charmian Kok in SINGAPORE; Editing by Kim Coghill) For Asian Companies click; For Asia-Pacific News click; For South East Asia Hot Stock reports, click; SOUTHEAST ASIAN STOCK MARKETS Change on day Market Current Prev Close Pct Move Singapore 3002.73 2990.09 +0.42 Kuala Lumpur 1577.62 1579.88 +0.26 Bangkok 1196.60 1189.50 +0.60 Jakarta 4022.16 4024.73 -0.06 Manila 5102.24 5127.00 -0.48 Ho Chi Minh 440.29 438.07 +0.51 Change on year Market Current End prev yr Pct Move Singapore 3002.73 2646.35 +13.47 Kuala Lumpur 1577.62 1530.73 +3.06 Bangkok 1196.60 1025.32 +16.71 Jakarta 4022.16 3821.99 +5.24 Manila 5102.24 4371.96 +16.70 Ho Chi Minh 440.29 351.55 +25.24

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SE Asia Stocks-Mostly higher, Thailand fails again to hold 1,200