The volume was heavy as more than Bt55.256 billion worth of shares were transacted.

Analysts expected that the market should be sustained at this level due to the inflow from investors before the year end.

Earlier Bank of Thailand today is considering to seperate non-resident account for stock investment from the others, according to the central bank's officials.

The SET index closed the morning session at 688.17 points, up 10.61 per cent as the local investors scooped up the shares.

Earlier SET index rose by 9.62 per cent to 682.02 points at 11:30 am. after the government backtracked on draconian currency measures which caused a 15-percent plunge on Tuesday.

Tarisa Wattanagase, Bank of Thailand governor, said the central bank has no plan to introduce additional measures to curb currency speculation at the moment.

This morning, the SET board of governors held an urgent meeting to assess the impact from the central bank's 30 per cent withholding requirement and assess the damage yesterday.

Earlier the SET composite index jumped 36.12 points or 5.8 per cent to 658.26 in the first minutes of trading.

On Tuesday, investors reacted with panic to stringent currency rules aimed at halting the Thai baht's rise, causing the SET to nosedive 108.41 points or 14.84 percent for the biggest one day drop in the 31-year history of the bourse.

Losses on the day amounted to a staggering 816 billion baht (23 billion dollars), according to the SET.

Just hours after the debacle, Finance Minister Pridiyathorn Devakula was forced into an abrupt and embarrassing policy U-turn, saying the currency measures no longer applied to stockmarket investments.

Pridiyathorn, formerly central bank government, said the change in the rules would reassure foreign investors, who account for about 40 percent of the Thai stock market.

The Thai baht, which hit a new nine-year high of 35.12 to the dollar on Monday, was at 35.65-68 in early Wednesday trade.

The Nation