Selling pressure dampens market sentiment

business February 20, 2014 00:00

By The Nation

The Stock Exchange of Thailand index moved in the negative territory on Thursday, near 1,300 points, due to selling pressure on big-cap stocks.

Asia Plus Securities noted that selling pressure was avid for some stocks like ADVANC, PTT, SCB, KBANK and AOT, following the anti-government protesters' vow to attack businesses under the Shinawatra family.
The index declined 14.78 points in the morning session, to 1,306.22 points. 
In a research note, Asia Plus also noted that the Civil Court's ruling yesterday indicates the long standing of political protests while farmers' protests would add into pressure.
"There are full of risks, which could encourage institutional investors to take profit following net buy of over Bt20 billion in the past month," it said.
Shin Corp (INTUCH), formerly owned by the Shinawatras, was still recommended as a good stock. 
At 4.16pm, the stock was traded at Bt72.25, down by Bt1.50 or 2.03 per cent.  Advanced Info Service (ADVANC) which is the key contributor of Shin's income also dropped by Bt5 or 2.30 per cent to Bt212. 
The People's Democratic Reform Committee's threat to attack the Shinawatra family business was announced yesterday, a day after reports that Temasek Holdings - the current owner of Shin - is selling shares in the company. In a statement released yesterday, the company said that it was not aware of the news and had not received any information from the shareholder.