Profit-taking was expected to hit the Thai stock market this week as it faces negative factors both at home and abroad, analysts said. "There is a chance of profit-taking, particularly in the energy sector in which many stocks have made significant gains recently," said Phadoempob Songkroh, a chief analyst at Bualuang Securities. The major concern for investors in the coming week would be movement of oil prices after they topped 50 dollars per barrel in recent days, as well as domestic retail oil prices which saw diesel rates rise four percent in the first move since a subsidy was introduced 13 months ago.

World oil prices moved higher Thursday, nearing 52 dollars a barrel in New York and moving towards 50 dollars a barrel in London on freezing temperatures in the northern hemisphere, before retreating slightly on Friday.

Other local factors include an upcoming meeting of the Bank of Thailand's monetary policy committee to decide on interest rates, Phadoempob said.

But he ruled out political concerns affecting the market. Prime Minister Thaksin Shinawatra is to unveil his second-term cabinet after the Election Commission endorsed his party's massive re-election victory earlier this month.

The Stock Exchange of Thailand (SET) index gained 2.54 points or 0.34 percent over the past week to close Friday at 740.04.

Copyright Agence France-Presse, 2005