SET chief sees no need for special measures to boost market

Written by Writer on Tuesday, October 28th, 2008

SET chief sees no need for special measures to boost market

BANGKOK, Oct 27 (TNA) – Stock Exchange of Thailand (SET) president Patareeya Benjapolchai on Monday announced that the Thai exchange would not provide special measures to promote investment sentiment for the time being despite the continued market plunge.

She said the SET’s composite index plummeted by 45.44 points or 10.50 per cent in Monday’s trading in conjunction with other Asian markets, which saw indices plunge by around 8-9 per cent.

In particular, Hong Kong’s Hang Seng Index dropped by 12 per cent since investors are uncertain about measures issued by the central banks of many countries, including the United States and the European Union, to address
the financial crisis.

Also, the expected global economic recession led to many investors failing to have sufficient confidence to invest.

Despite the market bearishness, she said SET would not issue any special measures since it viewed impacts of the global economic crisis are more severe than expected.

What the investors should do now is to invest in the stock market with great caution, she said.

Mrs. Patareeya said that on October 30 the SET, the Bank of Thailand, and state agencies concerned would meet with Finance Minister Suchart Thada-Thamrongvech to discuss investment conditions of SET following its continued fall.

Also to be discussed is the establishment of a Bt100 billion fund to stimulate the economy and shore up stock prices.

She said that investors should monitor the 3rd quarter operating performances of listed companies to be released on November 15.

“The Thai economic fundamentals remains strong, and the overall economy is not in recession,” Mrs. Pattareeya said. “The problem we are facing now is a lack of investor confidence.” (TNA)