BANGKOK, Dec. 25 (Xinhua) -- The Stock Exchange of Thailand (SET) index will swing next year within a range of 220 points as the politics and the Map Ta Phut issue affects investor sentiment, local media on Friday quoted the country's Securities Analysts Association as saying.

    According to The Nation online, secretary-general Sombat Narawutthichai of the association Thursday revealed the results of a survey to analysts in 20 various securities companies, which showed a consensus forecast for the SET index in 2010: a peak of 845 points and a lowest point of 625 points.

    The consensus is the SET index will first plunge from its recent peak of 845 points to 625 points and then end the year 2010 with 812 points, against a year-end forecast of 726 for 2009.

    Analysts projected earnings growth for the SET next year at 13.3 percent, with hotels leading all sectors with a growth of 76.7 percent, followed by petrochemicals at 40.6 percent and shipping at 20.39 percent.

    In terms of dividend yield, the electronics sector will take the lead with a projected yield of 6.07 percent, followed by communications at 5.73 percent and petrochemicals at 4.45 percent, the forecast says.

    Domestic politics, societal divisions, the Map Ta Phut Industrial Estate problem and a slow economic recovery at home and abroad could be the negative factors that affect investors' sentiment, Sombat said.

    Positive factors will be the government stimulus package and the fact that a recovery is occurring in the economies of Thailand's trading partners.

    Sombat said the analysts had raised their forecast for the SET Index at the end of this year to 726 points, from a September prediction of 674 points, because government stimulus measures have improved investor sentiment.

    The survey, conducted earlier this month, reveals that 45 percent of analysts consider political instability and social conflict as the key issue for the government to focus on next year, followed by 40 percent of them concerned about the Map Ta Phut impasse where 64 industrial projects have been suspended; and 35 percent worried about domestic and global economy.

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