Thai share prices drop

Thai share prices closed 1.03 percent lower on Monday on profit-taking in rate-sensitive stocks ahead of the US Federal Reserve's meeting on interest rates this week, dealers said. They said the Thai bourse dropped in line with other regional stocks on US interest rate worries.
The Stock Exchange of Thailand (SET) composite index lost 7.93 points to 764.12, while the blue chip SET 50 index fell 6.80 points to 541.21. Losers led gainers 241 to 111 with 103 stocks unchanged on turnover of 2.5 billion shares worth 13.8 billion baht (399 million dollars).
The Thai baht slightly strengthened against the dollar, closing at 34.55-56 to the unit from Friday's 34.59-60. Against the euro, the Thai unit finished at 46.48-54 from 46.42-47. Kavee Chukitkasem, a senior market analyst at Kasikorn Securities, said investors were waiting for the Fed's decision on interest rates this week.
"They are cautious because they want to know if the Fed chairman will hint at any possible interest rate hike in the near future," Kavee said, adding rate-sensitive banking and property stocks tumbled on US interest rate fears.
"There are concerns that the current property woes in the US could be intensified, and that could affect the wealth of Americans," he added. Kavee said investors downplayed the impact of last weekend's anti-junta protests set up by allies of deposed premier Thaksin Shinawatra, who demanded an end to the military regeime.
Despite passing a self-imposed deadline, rally organisers said on Sunday they would continue with their nightly protests, which so far have been largely peaceful.
Thailand's top energy firm PTT was unchanged at 266.00 baht while its unit PTT Exploration and Production declined 1.00 to 108.00. The kingdom's top lender Bangkok Bank fell 2.00 to 116.00 and the third largest lender Kasikorn Bank also dropped 2.00 to 71.00. Thai Airways International lost 1.00 to 43.50 and Thailand's largest mobile phone operator, Advanced Info Service (AIS), was down 1.50 to 85.00.