On tonight's CNBC report today's 1.2% fall on the SET is being blamed on rumours of a snap election to be called in LOS. Any truth in this?

Seems unlikely given the political climate right now. You hear the possibility mentioned fairly often, of course, but as far as I have noticed, it has been mentioned no more recently than normal.

My guess is that either (1) it was the usual media pontification trying to explain every market movement as if there were a rational explanation for it; or (2) that the usual suspects were up to their usual games of trying to manipulate the SET by floating rumors and then cashing in on the inevitably exaggerated volitility that results.

Still, I'd say the trend line for the SET is unquestionably downward pointing, at least for the time being.

On tonight's CNBC report today's 1.2% fall on the SET is being blamed on rumours of a snap election to be called in LOS. Any truth in this?

No truth whatsoever. Apart from all else, TRT isn't ready for an election yet.