Thai shares end 1.30% higher
Thai shares trail the upswing in other bourses, driven by the optimism that two European superpowers would step in to prevent Greece's debt default which would further harm confidence in the euro zone.
Today, foreigners sold Bt938 million net of Thai shares. During September 1-15, foreign net-sells totalled Bt9 billion.
Outflows from the stock market could further weaken the Thai baht against US dollar, after 2 per cent depreciation from end-July level. Siam Commercial Bank's research team expected further depreciation as the Central European Bank may need to reduce the policy rate which would further weaken euro against US dollar. Other currencies would also weaken against the greenback.
As of 11am, the Stock Exchange of Thailand Index gained 2.58 points or 0.25 per cent, to 1,025.54 points.
At midday, the index rose 0.8 point. As of 3.05pm, the index went up 5.75 points or 0.56 per cent from the previous closing, to 1,028.71 points.
The index ended the day with a gain of 13.25 points or 1.30 per cent, to 1,036.21 points, on turnover of Bt21.6 billion.
European and US stocks yesterday rallied with strong gains as the leaders of France, Germany and Greece sought to demonstrate they were on top of Greece's debt crisis and would not let it fracture the eurozone.
According to Agence France Presse, a statement released after the call said Sarkozy and Merkel "are convinced that the future of Greece is in the eurozone," and that Papandreou "confirmed his absolute determination to put in place all the necessary measures to carry out all of the commitments made."
Yesterday, global stocks nosedived on worries that several German and French banks would need to be recapitalised on a chance of defaults.
Tisco Securities said in a research that if the SET Index can stand above 1,020 points this week, the index could swing back to the 1,060 points this week.
Kiatnakin Securities advises investors to wait and see and the index is below 1,035 points.
