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SE Asia Stocks-S'pore extends gains, Thailand up for 8th day

Published: 13 May 2009 02:47:03 PST

* Major markets add to gains; Singapore inches up

* Energy, petrochemical buying pushes Thai market higher

BANGKOK, May 13 - Singapore's stock market posted a small gain on Wednesday, with Wilmar International jumping after strong quarterly results, and Thai stocks rose for an eighth session on buying of energy and petrochemical shares.

Singapore's benchmark stock index <.FTSTI> added just 0.3 percent to Tuesday's 0.6 percent rise but is still up 24 percent so far this year. Wilmar <WLIL.SI>, the world's largest listed palm oil firm, rose 5.8 percent.

Other gainers included commodities firm Noble Group <NOBG.SI>, which rose 1.3 percent, and top developer CapitaLand <CATL.SI>, which was up 1.9 percent.

Thailand's SET index <.SETI> climbed 1.5 percent, building on a 15 percent rise over the past seven sessions, as oil prices near $60 a barrel made energy and petrochemical shares attractive, dealers said.

PTT Exploration and Production <PTTE.BK> rose 4.2 percent, PTT Chemical <PTTC.BK> jumped 17.6 percent and IRPC <IRPC.BK> surged 17 percent.

But the Thai stock market, like other Asian bourses, may be entering a correction phase, said Viwat Techapoonphol, a strategist at Tisco Securities in Bangkok.

"Asian stocks were overbought and Thai shares also look pricey. It's possible that the Thai rally can extend a little bit more, helped by 'panic buying' from those investors who missed the rally," he said.

Brokerage shares in Thailand also gained, with leader Kim Eng Securities <KEST.BK> up 0.7 percent and Bangkok First Investment <BFIT.BK> 0.6 percent higher.

Trading on the Thai market has picked up after hitting a six-year low earlier this year, when the global financial downturn and political strife curbed investors' appetite for equities, Kim Eng said. [ID:nBKK483122]

Malaysia <.KLSE> was flat, with Maybank <MBBM.KL> down 2.8 percent after rising 2.4 percent on Tuesday, while top power producer Tenaga Nasional <TENA.KL> fell 1.4 percent, extending Tuesday's 1.3 percent loss.

Indonesia <.JKSE> was up 0.5 percent, with banks leading gainers. Bank Rakyat <BBRI.JK>, the third-largest lender, was up 2.6 percent and the biggest lender, Bank Mandiri <BMRI.JK>, was up 1.9 percent. ($1 = 34.58 Baht)