Tuesday, January 15, 2008

Thai Stock Market Likely To Turn Bullish If New Govt Formed Smoothly

BANGKOK, Jan 15 (Bernama) -- The Stock Exchange of Thailand (SET) is likely to turn bullish if the formation of the new government is achieved without hindrance and its economic policy is clear, Thailand News Agency (TNA) quoted a top Bangkok- based fund manager as saying.

Ladawan Charoenrajapark, Managing Director of Asset Plus Fund Management Co. ,LTD said she believed the SET will rally if the new government has a clear-cut policy to stimulate the economy.

She said the country's overall economy is expected to pick up due to the recovery of local consumption and investment.

Ladawan suggested investors weigh their investment in stocks in sectors with growth potential such as energy and banking.

The property sector is another growth potential one since it would benefit from an implementation of mega-projects, which is one of main policies to stimulate the economy.

However, she warned the investment in the stock market this year should be made with caution.

Investors should closely monitor factors that have impacts on investment, particularly the local political situation, sub- prime lending woes in the United States, and global oil price hike.

She conceded the investment in the stock market last year was rather demanding because there were many internal and external factors that caused the market to fluctuate rather heavily.

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