Martial law move dents Thai stocks

[BANGKOK] Thailand's benchmark stock index headed for its biggest drop in almost two weeks and the baht declined as the army imposed martial law nationwide amid persistent political turmoil.

The SET Index fell 1.1 per cent, poised for the biggest drop since May 8, to close at 1,394.69. The baht dropped as much as 0.6 per cent against the US dollar.

The army acted a day after government data showed that gross domestic product (GDP) shrank 0.6 per cent in the first three months of 2014 compared with a year earlier. The move is not a coup and people should not be concerned, Army Chief Prayuth Chan-Ocha said on local television, asking political groups to end protests that began in November and led to Yingluck Shinawatra's ouster as elected leader.