The Thai stock market has moved higher now in consecutive sessions, collecting more than a dozen points or 1 percent in that span. The Stock Exchange of Thailand closed just above the 1,245-point plateau, and now traders are expecting a narrow trading range when the market kicks off trade on Monday.
The global forecast for the Asian markets is soft as investors figure to lock in gains following a substantial rally on Friday - although the downside may be limited by the increased chances for additional stimulus. China released a mixed batch of data over the weekend, with inflation accelerating from a 30-month low in August, reducing possibilities of another monetary easing - while a weaker-than-expected industrial output growth put pressure for more stimulus. In the U.S., the Labor Department's employment report showed that employment increased by 96,000 jobs in August - shy of forecasts for 125,000 jobs. The European and U.S. markets finished slightly higher, although now the Asian bourses figure to see a mild easing.
The SET finished slightly higher as the energy stocks and financial shares moved generally to the upside.
For the day, the index added 2.18 points or 0.18 percent to finish at the daily low of 1,246.10 after peaking at 1,255.89. Volume was 8,762 billion shares worth 34.654 billion baht. There were 285 gainers and 258 decliners, with 176 stocks finishing unchanged.
Among the actives, energy giant PTT was up 0.30 percent, while PTT Global Chemicals added 0.83 percent, PTT Exploration and Production shed 0.33 percent, coal miner Banpu climbed 0.90 percent, Siam Concrete gained 0.30 percent, Bangkok Bank collected 0.78 percent, Siam Commercial Bank rose 0.33 percent and Kasikornbank shed 1.13 percent.
The lead from Wall Street provides little guidance as stocks showed a lack of direction on Friday, largely holding on to the substantial gains posted in the previous session. The choppy trading came as traders digested a disappointing jobs report - although it increased optimism about further monetary stimulus from the Federal Reserve.
Employment increased by 96,000 jobs in August following a downwardly revised increase of 141,000 jobs in July. Economists had expected an increase of 125,000 jobs compared to the addition of 163,000 jobs originally reported for the previous month. Despite the weaker than expected job growth, the unemployment rate dropped to 8.1 percent in August from 8.3 in July; it had been expected to come in unchanged.
However, the unexpected drop by the unemployment rate came amid a notable decrease by the size of the workforce, which shrank by 368,000 people. The Federal Reserve is scheduled to hold a monetary policy meeting this week, with the disappointing jobs data boosting optimism about another round of quantitative easing.
Meanwhile, shares of Intel (INTC) came under pressure after the semiconductor giant cut its third quarter revenue guidance as a result of weaker than expected demand. Intel said it now expects third quarter revenues of $13.2 billion, plus or minus $300 million, compared to its previous forecast for revenues of $13.8 billion to $14.8 billion. The company also said full-year capital spending is expected to be below the low-end of its previous outlook.
The major U.S. averages were modestly higher on Friday, reaching new multi-year closing highs. The Dow edged up 14.64 points or 0.1 percent to finish at 13,306.64, the NASDAQ inched up 0.61 points or less than a tenth of a percent to end at 3,136.42 and the S&P 500 rose 5.80 points or 0.4 percent to close at 1,437.92. The averages all moved higher for the week as the Dow rose 1.6 percent, while the NASDAQ and the S&P 500 advanced by 2.3 percent and 2.2 percent, respectively.
by RTT Staff Writer
For comments and feedback: firstname.lastname@example.org