Bargain Hunting Expected To Boost Thai Stock Market
(RTTNews) - The Thai stock market has finished lower in six straight sessions, sinking more than 60 points or 4.4 percent along the way. The Stock Exchange of Thailand now sits just above the 1,285-point plateau and it's overdue for support on Thursday.
The global forecast for the Asian markets is upbeat following a drop in U.S. treasury yields. The European markets were mixed and the U.S bourses were slightly higher and the Asian markets figure to split the difference.
The SET finished sharply lower on Wednesday following losses from the consumer, finance, property, resource, service and technology sectors.
For the day, the index stumbled 14.28 points or 1.10 percent to finish at 1,286.74 after trading between 1,282.04 and 1,305.17. Volume was 8.009 billion shares worth 42.297 billion baht. There were 350 decliners and 136 gainers, with 182 stocks finishing unchanged.
Among the actives, Advanced Info gained 0.72 percent, while Thailand Airport accelerated 1.34 percent, Asset World tanked 2.58 percent, Banpu sank 0.82 percent, Bangkok Dusit Medical lost 0.43 percent, Bangkok Expressway dropped 0.75 percent, B. Grimm plunged 3.50 percent, CP All Public plummeted 3.38 percent, Charoen Pokphand Foods added 0.48 percent, Energy Absolute surrendered 2.10 percent, Gulf tumbled 1.71 percent, Kasikornbank retreated 1.53 percent, Krung Thai Bank collected 0.43 percent, Krung Thai Card shed 0.48 percent, PTT stumbled 2.44 percent, PTT Exploration and Production improved 1.21 percent, PTT Global Chemical rallied 1.49 percent, SCG Packaging climbed 1.29 percent, Siam Commercial Bank fell 0.39 percent, Siam Concrete strengthened 1.36 percent, Thai Oil advanced 1.00 percent, True Corporation soared 2.56 percent and TTB Bank, Bangkok Bank, PTT Oil & Retail and BTS Group were unchanged.
The lead from Wall Street is positive after the major averages opened lower on Wednesday but turned higher into the green as the day progressed, ending at session highs.
The Dow rallied 317.24 points or 0.71 percent to finish at 44,873.28, while the NASDAQ added 38.31 points or 0.19 percent to close at 19,692.33 and the S&P 500 gained 23.60 points or 0.39 percent to end at 6,061.48.
The rebound on Wall Street came amid a notable move to the downside by treasury yields, with the yield on the benchmark ten-year note slumping to its lowest closing level in well over a month.
Yields tumbled after the Treasury Department said its current auction sizes leave it well positioned to address potential changes to the fiscal outlook. Based on projected borrowing needs, the Treasury anticipates maintaining long-term securities auction sizes for at least the next several quarters.
In economic news, the Institute for Supply Management said service sector growth in the U.S. unexpectedly slowed modestly in January. Also, payroll processor ADP said private sector employment in the U.S. increased more than expected last month.
Oil prices settled sharply lower Wednesday after data showed a sharp jump in U.S. crude inventories last week. Concerns about the outlook for oil demand also weighed on prices. West Texas Intermediate Crude oil futures for March settled at $71.03 a barrel, losing $1.67 or 2.29 percent.