Thai shares tipped for quiet trading

05 Dec, 2005

Thai share prices are expected to trade sluggishly in a holiday-shortened week this week as investors wait for positive factors to spur the market, dealers said.
"The market will be extremely quiet, and the index is likely to move sideways down with a supporting level of the 655-point mark," Pichai Lertsupongkit, chief analyst at Siam Prudent Securities said.
Pichai said investors would wait for Friday December 9 when media mogul Sondhi Limthongkul vowed to resume his attack against Prime Minister Thaksin Shinawatra.
Sondhi's weekly rallies in a Bangkok park have drawn tens of thousands of people, but he has called for half a million people to attend on December 9.
"If there is nothing wrong with that (and 500,000 don't appear) I think investors would be relieved," Pichai said.
He said the market was already in oversold mode, but since there were no positive factors investors were sidelined.
Virya Larppromratana, chief analyst at Kiatnakin Securities, said the Thai market was still under various negative pressure factors including political tension, an uptrend in interest rates, and high oil prices. "The Thai stock market seriously lacks positive factors, so the market this week will remain in lacklustre trading sentiment," she said.
The Thai financial markets will be closed on Monday for a public holiday marking the birthday of King Bhumibol Adulyadej.
For the week ending December 12 the Stock Exchange of Thailand's composite index fell 9.98 points or 1.49 percent to 659.91.

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