Thailand stocks fell on Friday as investors opted to cash out ahead of the weekend after arsonists torched rural health clinics and police booths in the largely Muslim south, analysts said.
The benchmark Stock Exchange of Thailand (SET) composite index closed down 5.92 points, or 0.86 percent, at 681.27 points and the big-cap SET 50 was 0.81 percent lower at 45.05 points.
Turnover dropped to 15.4 billion baht ($390.5 million) from 24.6 billion baht on Thursday. "Concerns about the southern region is growing," said KGI Securities analyst Rakpong Chaisuparakul. "Investors get a bit worried when they hear news like this. Arsonists torched 36 state-run rural health clinics and police booths in an overnight rampage across three Muslim-dominated southern provinces near the border with Malaysia, police and military officials said.
The incidents followed a string of attacks in the region since January, when state schools were burned and an army camp raided.
Rakpong said retail investors had started to take profits after a two-day rise.
"It will probably be this way for a while - rises don't go far and falls aren't deep," said SCB Securities analyst Adipong Puttarawigorn. "When the market falls a lot, foreigners buy, but when it rises, they sell."
KGI's Rakpong forecast the index would move in the 680-700 point range in the coming week. Weakness in bank stocks, which led the market's rise over the previous two days, contributed to the murky mood, analysts said.
The bank sector index dropped 0.88 percent, with Siam City Bank down 3.7 percent at 26 baht.
Kasikornbank, which hit a one-week high on Thursday, fell 1.51 percent to 49 baht. Krung Thai Bank.
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