Thai share prices closed 2.51 percent lower on Wednesday as investors continued to dump stocks on lingering worries over the US subprime mortgage crisis, dealers said.
They said selling spread across the board as the Thai bourse extended losses for the fourth consecutive trading day amid growing uncertainty over the scope of a potential credit crunch stemming from the housing loan problems.
The Stock Exchange of Thailand (SET) composite index dropped 19.90 points to 773.92 and the blue chip SET 50 index lost 15.98 points to 548.47. Losers far outnumbered gainers 352 to 52, with 57 stocks unchanged on turnover of 2.1 billion shares worth 16.5 billion baht (482 million dollars).
The Thai baht slightly fell from Tuesday's close, finishing at 34.15-17 to the dollar. Against the euro, the Thai currency was quoted at 46.05-13 from 46.63-71. "Investors kept selling stocks because the picture of the subprime mortgage problems was so unclear. It may take one or two months before the situation becomes transparent," said Kavee Chukitkasem, assistant managing director at Kasikorn Securities.
"Investors may be overreacting to the crisis, but we will continue to see more selling due to uncertainty" over the housing loan problems in the United States, Kavee said. Thailand's top energy firm PTT fell 4.00 baht to 274.00 and its unit PTT Exploration and Production also shed 4.00 to 110.00. Top lender Bangkok Bank declined 4.00 to 114.00. Thai Airways International edged down 0.50 to 43.00 and the kingdom's largest mobile phone operator, Advanced Info Service, lost 4.00 to 93.00.