RTTNews - The Thai stock market on Thursday wrote a finish to the winning streak that had reached five sessions and helped it to collect more than two dozen points or 3.3 percent. The Stock Exchange of Thailand maintained support above the 650-point plateau, and now investors are looking for the market to bounce back to the upside at the opening of trade on Friday.
The global forecast for the Asian markets is cautiously optimistic, with gains expected among the technology stocks, gold miners and financial shares - although selling pressure among biotechnology and airlines stocks are likely to cut into the overall upside. The European markets ended with modest losses, while the U.S. markets tracked slightly to the upside - and now the Asian markets are projected to stay close to the unchanged line with a slight upside bias.
The SET finished modestly lower on Thursday, as investors locked in gains from the recent rally. Weakness among the energy stocks pushed the market to the downside.
For the day, the index was off 5.88 points or 0.89 percent to close at 652.40 after trading between 652.24 and 659.29. Volume was 5.748 billion shares worth 22.706 billion baht. There were 236 decliners and 133 gainers, with 95 stocks finishing unchanged.
Among the decliners, energy giant PYY shed 0.81 percent, while PTT Exploration and Production dropped 2.11 percent and coal producer Banpu declined 0.99 percent.
Wall Street offers a lead that is mildly positive as stocks staged a steady recovery and finished with modest gains on Thursday, following an initial retreat on the heels of relatively uneventful economic reports. The major averages all closed in positive territory, but the upside was limited by another low volume session.
Earlier, traders focused on a fresh batch of economic reports, with the Commerce Department revealing that second quarter GDP decreased at an annual rate of 1.0 percent in the second quarter, unchanged from the 1.0 percent decrease initially reported. Economists had been expecting GDP to be revised to show a decrease of 1.5 percent. The Commerce Department said upward revisions to exports, residential fixed investment, consumer spending, and government spending were offset by downward revisions to private inventory investment and nonresidential fixed investment.
Separately, the number of people filing for first-time unemployment benefits edged down last week, according to a report released by the Labor Department, although jobless claims remain at a relatively high level. The report showed that jobless claims edged down to 570,000 from the previous week's revised figure of 580,000. Economists had been expecting jobless claims to slip to 565,000 from the 576,000 originally reported for the previous month. Continuing claims, which measure the number of people receiving ongoing unemployment help, fell to 6.133 million for the week ended August 15, the most recent week for which the government has data.
A variety of sectors turned higher after moving lower earlier in the session, contributing to the recovery by the broader markets. Nonetheless, stocks were unable to sustain the upward move amid some uncertainty about the economic outlook.
The major averages moved off of their highs in late session dealing, but they were able to hold onto modest gains. The Dow advanced by 37.11 points or 0.4 percent to 9,580.63, the NASDAQ gained 3.30 points or 0.2 percent to close at 2,027.73 and the S&P 500 rose by 2.86 points or 0.3 percent to 1,030.98.
In economic news, Thailand will on Friday provide foreign reserves data for the week ended August 21. Forecasts call for an increase of 124 percent on year following the 123.7 percent annual expansion in the previous week.
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