Thai Stock Market May Extend Tuesday’s Losses

The Thai stock market on Tuesday ended the two-day winning streak in which it had climbed almost 20 points or 1.6 percent. The Stock Exchange of Thailand now sits just above the 1,260-point plateau and it may take further damage on Wednesday.

The global forecast for the Asian markets offers little clarity, although any lack of general support should be limited by support from the technology shares. The European markets were soft and the U.S. bourses were mixed and little changed and the Asian markets figure to split the difference.

The SET finished sharply lower on Tuesday following losses from the industrial, resource, service and technology sectors.

For the day, the index sank 12.72 points or 1.00 percent to finish at 1,260.68 after trading between 1,258.54 and 1,269.07. Volume was 5.605 billion shares worth 30.835 billion baht. There were 239 decliners and 181 gainers, with 228 stocks finishing unchanged.

Among the actives, Thailand Airport jumped 1.87 percent, while Asset World dropped 0.95 percent, Banpu gained 0.82 percent, Bangkok Bank improved 0.91 percent, Bangkok Dusit Medical crashed 1.99 percent, Bangkok Expressway was down 0.93 percent, B. Grimm rallied 2.10 percent, BTS Group plummeted 2.33 percent, CP All Public stumbled 1.68 percent, Charoen Pokphand Foods advanced 0.98 percent, Energy Absolute retreated 0.70 percent, Gulf declined 0.60 percent, Kasikornbank dipped 0.26 percent, Krung Thai Card and Krung Thai Bank both sank 0.88 percent, PTT Oil & Retail contracted 0.76 percent, PTT tumbled 1.57 percent, PTT Exploration and Production skidded 0.92 percent, PTT Global Chemical plunged 3.86 percent, SCG Packaging shed 0.62 percent, Siam Commercial Bank collected 0.75 percent, Siam Concrete lost 0.54 percent, Thai Oil cratered 2.10 percent, True Corporation slumped 0.90 percent, TTB Bank added 0.51 percent and Advanced Info was unchanged.

The lead from Wall Street is weak as the major averages hugged the line from below for most of the day, although the NASDAQ managed to break into the green.

The Dow slumped 302.30 points or 0.62 percent to finish at 48,114.26, while the NASDAQ added 54.05 points or 0.23 percent to close at 23,111.46 and the S&P 500 slipped 16.25 points or 0.24 percent to end at 6,800.26.

The choppy trading on Wall Street followed the release of the Labor Department’s report on employment in November.

Most economists said the data has increased the likelihood the Federal Reserve will continue cutting interest rates in the near future, but the report also raised concerns about the strength of the economy.

A separate report released by the Commerce Department showed retail sales in the U.S. were roughly flat in October.

Crude oil prices extended recent losses Tuesday on lingering oversupply concerns, especially if an end to hostilities between Russia and Ukraine could exacerbate the supply glut. West Texas Intermediate crude for January delivery was down $1.57 or 2.8 percent to $55.25 per barrel.

Closer to home, the central bank in Thailand is scheduled to conclude its monetary policy meeting later today and then announce its decision on interest rates; The central bank is widely expected to lower its benchmark lending rate by 25 basis points, to 1.25 percent from 1.50 percent.