Thai share prices soared 2.92 percent on Tuesday due to an easing of political tensions, a significant gain in the energy sector and positive third quarter economic figures, dealers said.
Thai Prime Minister Thaksin Shinawatra dropped all six lawsuits against vocal critic, media tycoon Sondhi Limthongkul, while official figures showed the economy grew 5.3 percent year-on-year in the three months to September.
The Stock Exchange of Thailand (SET) composite index rose 19.25 points to 679.16, and the SET 50 gained 15.09 to 477.00.
Gainers overwhelmed losers 303 to 45 and 56 stocks were unchanged on turnover of 3.0 billion shares worth 18.8 billion baht (454.2 million dollars) traded.
In contrast to an active stock market, the Thai baht was stable amid sluggish trading as investors waited for a decision in the US on interest rates, the Thai unit closed Tuesday at 41.33-40 baht to one dollar compared to Friday's close of 41.43-45. Against the euro it closed at 48.55-84 to one compared to Friday's 48.50-55.
"There are two main factors boosting the market today including the prime minister dropping his cases against Sondhi, and global oil prices high again so investors returned to buy in the energy sector," Chai Chirasevenupraphand, a strategist at Capital Nomura Securities, said.
Thailand's third quarter growth was higher that a revised second quarter 4.6 percent, the government's economic think tank, the National Economic and Social Development Board (NESDB) said.
The energy sector soared 4.31 percent, finance gained 4.08 percent and banking rose 2.95 percent. Among SET's blue chips Bangkok Bank rose 2.50 baht to 101.00, as did Kasikornbank to 63.00, and Siam Commercial Bank put on 1.25 to 49.00.
PTT jumped 10.00 to 222.00, its subsidiary PTT Exploration and Production soared 20.00 to 460.00 and Thai Oil gained 3.50 to 63.00.
Thai Airways International gained 1.25 to 41.25, and Siam Cement rose 4.00 to 228.00 and Advance Info Service added 3.50 to 101.00.