Thai share prices closed 1.47 percent higher on Wednesday, hitting a fresh 10-year high as foreign investors continued to pour money into the market, dealers said. They said foreign investors were buying stocks around the region in a buying spree sparked by the US Federal Reserve's decision last week to maintain interest rates at current levels.
The Stock Exchange of Thailand (SET) composite index gained 11.93 points to close at 825.45 points, and blue chip SET 50 rose 9.33 points to 590.27. Gainers outnumbered losers 258 to 109 with 115 stocks unchanged on a day of heavy trading with 6.2 billion shares worth 40.0 billion baht (1.2 billion dollars) changing hands.
The Thai baht also gained against the dollar to close Wednesday at 34.19-21 baht to the greenback compared to 34.31-33 Tuesday. Dealers warned that the baht is likely to gain further as capital inflows continue. Against the euro, the Thai unit closed at 46.56-60 compared to Tuesday's close of 46.65-75.
"It's apparently a continuing fund flow, because all the regional markets gained and our currency appreciated," Kitti Hamnilrat, chief analyst at Ayudhya Securities said. "In fact our economic fundamentals remain unchanged," he added.
But Kitti warned of the market would likely consolidate before rising further. His company expects the index to reach 840 points by the end of the year. The kingdom's top lender Bangkok Bank rose 2.00 baht to 128, the third largest lender Kasikorn Bank added 1.00 to 83, while Siam Commercial Bank was up 0.50 to 80.50.
Thailand's biggest conglomerate Siam Cement was steady at 270, but flag carrier Thai Airways International edged up 0.50 to 44.75 while Airports of Thailand rose 2.00 to 63.00. Top energy firm PTT Plc soared 6.00 to 290, while its subsidiary PTT Exploration and Production gained 3.00 to 118.