February 6, 2008
BANGKOK (AFP) - Thai share prices closed 1.62 percent lower on Wednesday as investors dumped stocks amid growing fears of a US recession, dealers said.
They said selling spread across the board in line with heavy losses in the region, which followed a nearly three-percent drop on Wall Street Tuesday on the release of a shockingly weak reading on US service sector activity.
The Stock Exchange of Thailand (SET) composite index fell 13.05 points to 794.63 and the blue-chip SET-50 lost 11.95 points to 572.83.
Losers outnumbered gainers 236 to 79, with 109 stocks unchanged on turnover of 2.73 billion shares worth 16.30 billion baht (4.94 billion dollars).
The Thai baht closed at 32.90-95 against the dollar, little changed from Tuesday's close of 32.90-91. Against the euro, the Thai unit was quoted at 48.08-10 from 48.39-41.
"The Thai market was in line with other Asian markets that fell across the region amid fears over a recession in the US economy," said Chai Chirasevenupraphand, senior strategist at Capital Nomura Securities.
Investors continue to fret over the state of the US economy as Wall Street sank 2.93 percent on Tuesday following a report from the Institute of Supply Management showing the vast US services sector contracting in January for the first time in nearly five years.
Foreign investors also stayed on the sidelines due to China's week-long Lunar New Year holiday, which begins Wednesday, Chai said.
Thailand's biggest energy firm PTT lost 10.00 baht to 316.00 and its subsidiary PTT Exploration and Production also fell 4.00 to 144.00.
Thailand's largest lender Bangkok Bank shed 1.00 to 120.00, and the kingdom's biggest mobile phone operator, Advanced Info Service, was down 2.50 to 94.50.
Shares in Thai Airways International also slipped 0.25 to 33.75.
