March 19, 2008
BANGKOK (AFP) - Thai share prices closed 0.57 percent lower Wednesday as investors locked in profits despite a rally on Wall Street following a US interest rate cut, dealers said.
They said sentiment was positive in the morning session as investors took heart from the US Federal Reserve's widely-expected rate cut Tuesday. But the market slipped in the end due to fears over the US economy.
The Stock Exchange of Thailand (SET) composite index fell 4.65 points to 807.67 and the blue-chip SET-50 lost 3.58 points to 582.19.
Losers led gainers 186 to 130, with 120 stocks unchanged on turnover of 2.78 billion shares worth 15.96 billion baht (512.01 million dollars).
The baht closed at a new 10-year-high of 31.18-19 against the dollar, slightly up from Tuesday's 31.22-23. Against the euro, the Thai unit was quoted at 49.07-13 from 49.26-31.
"The market rose in the morning but fell later as investors sold stocks on profit-taking," said Thanomsak Saharatchai, senior strategist at Capital Nomura Securities.
Investors initially reacted positively to the US rate cut, but sustained fears over a slowdown in the US economy and soaring global oil prices continued to pressure sentiment, Thanomsak said.
The US central bank on Tuesday cut its benchmark fed funds rate by 75 basis points to 2.25 percent, the lowest level in over three years.
Thailand's biggest energy firm PTT lost 4.00 baht to 320.00 and its subsidiary PTT Exploration and Production fell 3.00 to 154.00. Major energy firm Banpu also declined 12.00 to 408.00.
But the kingdom's largest lender Bangkok Bank rose 2.00 to 130.00.
Thai Airways International slipped 0.25 to 28.25, while Thailand's biggest mobile phone operator, Advanced Info Service, were flat at 98.50.
