Thai share prices closed 1.52 percent higher on Wednesday, with sentiment upbeat after a strong Wall Street performance overnight sparked gains across the region, dealers said.
They said investors bought back energy-linked shares despite recent fears over the possible delisting of the country's biggest energy firm PTT. The Stock Exchange of Thailand (SET) composite index rose 10.43 points to 698.19 and the blue chip SET-50 index gained 8.65 points to 487.10. Gainers led losers 246 to 108 with 89 stocks unchanged on turnover of 5.0 billion shares worth 19.1 billion baht (510 million dollars).
The Thai baht closed at 37.36-40 to the dollar after Tuesday's 37.44-46, and at 47.25-55 to the euro after 47.57-62. "Sentiment was positive due to regional gains and a rally on Wall Street," said Kanang Duangmanee, an economist at Kasikorn Research Center.
US stocks powered higher Tuesday as falling oil prices eased inflation fears, triggering buying across Asia. Investors chased gains in the energy sector, which accounts for 30 percent of the Thai market's capitalisation, but Kanang warned buying could be temporary due to uncertainty over the fate of PTT.
"There is still uncertainty over PTT. We just don't know what will happen to the company," she said. PTT has been under pressure since a group of consumer activists last week succeeded in getting the Supreme Administrative Court to hear a petition which calls into question the 2001 listing of the energy giant.
An adverse ruling in the case could potentially lead to the delisting of the group, the largest company on the stockmarket. PTT rose 2.00 to 214.00 baht and its subsidiary PTT Exploration and Production gained 3.00 to 105.00. Thai Oil edged up 0.50 to 60.00. The country's top lender Bangkok Bank added 1.00 to 108.00. Thai Airways International gained 1.75 to 47.50.
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