Why Doesnt "Me Too" Apply to Democrats?

[webfact]

Investors urged not to panic over SET plunge

BANGKOK, Jan 26 – Investors should not panic over Monday's sharp fall in the Stock Exchange of Thailand (SET) composite index as heavy sell-offs by foreign investors are expected to ease from now on, according to the SET's group head for issuers and listings Chanitr Charnchainarong.

The SET index plummeted by 42.89 to 963.68 points in Monday’s trading with a daily trade value of Bt37.4 billion. Foreign investors had a net selling of Bt4.05 billion.

He said the foreign investors had stocks available for sale only a small amount now.

In the post-political violence period from June 15, 2010 to Jan 5 this year, the foreign net buy totaled some Bt100 billion.

Early last year, foreign shareholders sold stocks amounting to Bt20 billion. During 2010 there were large lots of trading in four stocks by foreign investors, who are business partners, worth Bt47 billion. They are Ratchaburi Electricity Generating Holding, PTT Chemical, BEC World, and Preuksa Real Estate.

During Jan 5-24 this year, foreign investors also dumped shares amounting to over Bt30 billion. It resulted in the foreign net buy remaining at only Bt10 billion now.

“The plunge in the SET index on Jan 24 was mainly attributed to profit-taking by foreign investors, not to mounting concerns over the inflation hike because the Bank of Thailand is able to control inflation efficiently.

“Also, the Thai stock market dropped only slightly in recent times while other markets had plummeted. So, it is not usual to see the SET fall more than other markets now,” he said. (MCOT online news)

-- TNA 2011-01-26

[mkawish]

Wonder just who the Set Exchange was trying to comfort....

itself or

the anticipating wiser Farang of the impending political troubles the current govt is facing....?

[SantiSuk]

The SET is probably going to be rocky in the run up to April until the political position is clearer (if ever).

I saw a clip on TAN this morning where someone had surveyed 1200 Thai Chinese about their spending plans for the Chinese New Year. A majority of respondents reported an intention to reduce their spending on luxury goods this time because of fears about the rise in basic goods (foodstuffs and energy). That could have a more marked medium term impact on the market than the well-known political risk factor.

It does not mean the SET is a sell - depends on your long term outlook on Thailand - there could be some buying opportunities ahead for buy and hold investors with nerve. My own personal position at the moment, in reaction to the above, on Thailand is (slightly nervous) Hold, but I could understand those with a shorter term view shorting or selling it for the next couple of months.