Foreign Investors Lead to Gains
May 10, 2011
The Stock Exchange of Thailand Index gained 11.25 to 1105.84 on volume of about 44.2 million shares valued at 3.21 billion baht. The select SET 50 Index climbed 1.07 to 84.63. Advancers led decliners 203 to 92. Analysts said that foreigners were more upbeat about the Thai market Wednesday because Siam Cement reported better-than-expected earnings results. The conglomerate reported its consolidated net profit rose 12% in the first half of 2011 to 4.34 billion baht, compared with the same period last year. The company's stock climbed 16 baht to 944, boosting the building-sector index up by 1.20%. Trading volumes remained relatively low. Investors kept to the sidelines ahead of the Thursday release of economic data by the central bank. The market isn't expecting a sudden improvement in the country's economic outlook, analysts said. Investors also bought large-capitalization banks. Rumors were that the 21-billion-baht support fund was picking up shares in Bangkok Bank, Thailand's largest commercial bank, despite the bank's sluggish 6.2% first-half net profit growth. Bangkok Bank rose 4 baht to 218, Siam Commercial Bank added 8 baht to 264 and Thai Farmers Bank advanced 3 baht to 175. The banking-sector index was up 1.61%. Finance and securities concerns also benefited from bargain-hunting. Analysts said some investors believe that negative news concerning political stability and Thailand's economic outlook has already been discounted in the market. The finance sector index climbed 1.46%, with Swank Chi rising 2 baht to 110 and Finance One climbing 1 baht to 110.
