Thai share prices are expected to rise, led by growing hopes for a US rate cut and strong demand for energy stocks as oil prices continue to hit record highs, dealers said.
"The Thai market will rise as investors have already expected a US rate cut of 25 or 50 basis points, so we can expect positive sentiment," said Sukit Udomsirikul, a senior market analyst at Siam City Securities.
The Federal Reserve will meet on Tuesday and Wednesday and global traders have betted the US central bank is likely to cut its benchmark interest rate. Last month the Fed cut the rate to 4.75 percent in a bid to boost the US economy, which has been hit by housing and credit market stress.
Apart from the US rate factor, the Thai market is expected to stay firm next week thanks to gains in the energy sector as world oil prices continue to rise to a record high on tension in the oil-rich Middle East. Crude oil rose past 92 dollars per barrel in Asian trade on Friday to a new record on the rising tension and new US sanctions against Iran.
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