January 26, 2008
BANGKOK (AFP) - Thai share prices will likely move narrowly next week as investors remain jittery amid sustained fears over a recession in the US, a dealer said Friday.
"We all know that investors remain worried over a slowdown in the US economy due to the housing loan crisis," said Sukit Udomsirikul, head of research at Siam City Securities.
While the Thai market closed 4.27 percent higher on Friday, Sukit said buying "will not last long" and warned that investors could again sell stocks due to the wobbly state of the US economy.
Investors could also stay on the sidelines next week to assess the impact of huge losses by French banking giant Societe Generale, he said.
The bank said Thursday a lone rogue trader allegedly built up 4.9 billion euros (7.1 billion dollars) of losses.
Investors were likely to trade with caution ahead of Friday's release of Thailand's inflation report, Sukit added.
For the week to January 25, the Stock Exchange of Thailand composite index fell 29.95 points, or 3.79 percent, to close at 759.72.
Sukit said the Thai market would likely trade around the 750-770 point level next week.
