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Thai share prices closed 1.00 percent higher on Tuesday as investors calmed down after North Korea's first-ever nuclear test, dealers said. They said investors were upbeat as US and Japanese markets shrugged off Pyongyang's nuclear blast and closed higher following the test.
The Stock Exchange of Thailand (SET) composite index rose 6.90 points to 699.16 and the blue chip SET 50 index gained 5.45 points to 489.87. Gainers outnumbered losers 234 to 83 with 110 stocks unchanged on turnover of 2.0 billion shares worth 9.8 billion baht (261 million dollars). The Thai baht closed at 37.50-52 to the dollar, little changed from Monday's 37.57-58. Against the euro, the Thai currency finished at 47.02-15 from 47.35-40.
"The impact of North Korea's nuclear test was limited today as both US and Japanese markets rose higher" despite Pyongyang's nuclear blast, said Sukhbir Khanijoh, a senior economist at Kasikorn Securities. The Thai market also held firm as investors cheered the team of economic ministers headed by Finance Minister Pridiyathorn Devakula, a former central bank governor, in the kingdom's post-coup cabinet, unveiled on Monday.
"The cabinet line-up confirmed that Thailand was returning to normalcy following the coup," Sukhbir said, referring to the September 19 bloodless putsch that ousted former premier Thaksin Shinawatra. The cabinet led by military-installed premier Surayud Chulanont held its first meeting on Tuesday. The Surayud cabinet will govern until elections in October 2007, promised by the military.
Thailand's largest energy firm PTT rose 4.00 to 216.00 baht but its subsidiary PTT Exploration and Production was flat at 107.00. The country's top lender Bangkok Bank gained 1.00 to 110.00 and the third-largest lender Kasikorn Bank also rose 1.00 to 68.50. Thai Airways International edged down 0.25 to 48.00.

Copyright Agence France-Presse, 2006

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