SET ready to suspend share trading
The Stock Exchange of Thailand stands ready to suspend trading if one third of brokerages are forced to withhold their services because of the floods.
“For now, trading will continue uninterrupted, as this is a matter of foreign investor confidence,” SET president Charamporn Jotikasthira said yesterday.
At a meeting on Wednesday, 15 securities houses said they had closed 24 branches in flood-ravaged areas of Bangkok and other provinces.
Some moved their operations to backup centres, but trading remains normal, as their clients can still send in orders online.
The exchange says it is assessing the situation regularly.
The bourse is required to suspend trading if one third of brokerage members cannot execute orders.
Daily turnover has declined from Bt30 billion to Bt20 billion because of the flood, but good news abroad is boosting sentiment and foreigners remained net buyers.
Some flood-affected companies have asked for permission to delay submitting their third-quarter financial results.
To keep functioning, the SET is ready to move to Pattaya if its Ratchadaphisek head office becomes inaccessible to key staff. At present, 10 per cent of staff cannot commute to the area.
“What worries us is that the floods could stay for more than two weeks, and this will add to the commuting difficulties for our staff,” Charamporn said.
The SET’s investor centre will be transferred to an office building near Centara Grand Hotel if the head office is inundated.
