BANGKOK: Southeast Asia stock markets rose on Wednesday, in line with other Asian stock markets, with Thai benchmark topping its psychological mark of 1,550, a day before the nomination of a new Prime Minister, and Indonesia hitting an over 14-month high.
Gains in Bangkok were led by tourism stocks including
airport operator Airports of Thailand Pcl and home
builder Land & Houses Pcl, with brokers citing optimism
around improved outlook of local economy and political
situation.
"The NLA (National Legislative Assembly) is set to meet
tomorrow to choose the new Prime Minister, to be followed by the
setting up of a new cabinet possibly by the end of this month,"
strategists at KGI Securities wrote in a report.
The NLA is likely to nominate General Prayuth Chan-ocha, the
army chief who led the May 22 coup after months of street
protests, assembly members told Reuters.
Broker KGI said it expects the market to rise further this
month, led by shares in sectors seen as beneficiaries of the
domestic economy, including property, tourism and contractors.
The benchmark SET index closed up 0.5 percent at
1,550.77. It rose at one point to 1,552.52, just shy of an over
14-month intraday high of 1,552.66 hit on Aug. 14.
Investors bought Indonesian large caps such as Bank Rakyat
Indonesia and Telkom Indonesia, bringing the
key Jakarta's Composite Index to 5,190.17, the highest
close since May 29, 2013.
The market awaited a court ruling on the presidential
election on Thursday, brokers said.
"We expect Jokowi's win to be confirmed by constitutional
court decision, which should result in a slight positive
sentiment for the market," Trimegah Securities said in a
research report.
Asian stocks were steady on Wednesday after strong U.S.
housing data lifted Wall Street shares, helping nudge Treasury
yields higher and keeping the dollar to extend gains against the
euro and yen.
SOUTHEAST ASIAN STOCK MARKETS
Change on day
Market Current Prev Close Pct Move
TR SE Asia Index* 444.68 444.96 -0.07
Singapore 3323.65 3316.43 +0.22
Kuala Lumpur 1878.89 1872.16 +0.36
Bangkok 1550.77 1542.85 +0.51
Jakarta 5190.17 5165.17 +0.48
Manila 7096.49 7082.75 +0.19
Ho Chi Minh 606.70 604.64 +0.34
* The Thomson Reuters South East Asia Index is a
highly representative indicator of stocks listed in Indonesia,
Malaysia, the Philippines, Singapore, Thailand and Vietnam.
- Reuters
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