ID :
128988
Mon, 06/21/2010 - 20:35
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http://m.oananews.org//node/128988
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Thai stocks up as China eases currency policy
BANGKOK, June 21 (TNA, Agencies) – The Thai bourse and regional markets rose on Monday after China decided to allow greater flexibility in the exchange rate of the yuan.
Thai share prices peaked at 807.69 points and closed at 806.07 points, an increase of 1.80 per cent with the value of Bt29.9 billion.
Theerada Charnyingyong at Phillip Securities (Thailand) Pcl said the Thai stock index rallied thanks to China's central bank announcement on currency exchange rate reform.
It said that it would "strengthen the flexibility" of the yuan exchange rate, boosting hopes that Beijing is ready to adjust a two-year-old dollar peg and allow the currency to rise.
However, the People's Bank of China also insisted there would be no "large swings" in the currency and ruled out a one-off revaluation.
Ms Theera said the move by China’s central bank prompted an increase in foreign capital inflows and gains in regional stock markets on Monday.
She viewed that on Tuesday, the Thai stock index will continue to rally as Wall Street and European stock markets are also expected to jump on the open in response to China’s decision. However, selling of Thai shares to reap benefit may be seen in the surge of the SET index.
In Asia, the Tokyo stock market rallied 2.43 per cent and Hong Kong leapt 3.08 per cent. Shanghai jumped 2.90 per cent, Sydney edged up 1.33 per cent and Singapore rose 1.62 per cent in value. (TNA, Agencies)
Thai share prices peaked at 807.69 points and closed at 806.07 points, an increase of 1.80 per cent with the value of Bt29.9 billion.
Theerada Charnyingyong at Phillip Securities (Thailand) Pcl said the Thai stock index rallied thanks to China's central bank announcement on currency exchange rate reform.
It said that it would "strengthen the flexibility" of the yuan exchange rate, boosting hopes that Beijing is ready to adjust a two-year-old dollar peg and allow the currency to rise.
However, the People's Bank of China also insisted there would be no "large swings" in the currency and ruled out a one-off revaluation.
Ms Theera said the move by China’s central bank prompted an increase in foreign capital inflows and gains in regional stock markets on Monday.
She viewed that on Tuesday, the Thai stock index will continue to rally as Wall Street and European stock markets are also expected to jump on the open in response to China’s decision. However, selling of Thai shares to reap benefit may be seen in the surge of the SET index.
In Asia, the Tokyo stock market rallied 2.43 per cent and Hong Kong leapt 3.08 per cent. Shanghai jumped 2.90 per cent, Sydney edged up 1.33 per cent and Singapore rose 1.62 per cent in value. (TNA, Agencies)
