Southeast Asian stock markets, including the Stock Exchange of Thailand, rose on Monday, in line with broader Asia, as a trade truce between the United States and China boosted investor risk appetite.
China and the US agreed to halt additional tariffs in a deal that keeps their trade war from escalating as the two sides try again to bridge their differences with fresh talks aimed at reaching an agreement within 90 days.
"Risk appetite has returned this morning on the positive Sino-US trade truce struck at the G20 Summit," Philip Wee, a FX strategist, and Eugene Leow, a rates strategist, at DBS Bank said in a note.
However, they added, "There should be no wishful thinking that the truce would end the trade war between the world's two largest economies."
The SET index climbed 22.08 points or 1.34% to 1,663.88 at 10.53am, in trade worth 15 billion baht. The market was helped by energy and financial stocks.
Meanwhile, data showed the annual headline consumer price index rose 0.94% in November, marginally falling short of the 1% rise predicted in a Reuters poll.
Singapore shares rose 2.25% to their highest since Oct 8, while Philippine stocks climbed 2% to a near 12-week peak.
Consumer cyclicals and technology stocks led the gains in Singapore with Genting Singapore rising 6.2% and Golden Agri-Resources firming 2%.
Industrial and real estate stocks led the gains in the Philippines. SM Investments Corp rose 4.4%, while Ayala Land gained 0.8%.
Indonesian shares rose 1.2% ahead of the release inflation data later in the day.
A Reuters poll predicts November annual inflation at 3.15%, easing from October after Bank Indonesia raised interest rates on Nov 15 for the sixth time this year.
Telekomunikasi Indonesia (Persero) Tbk Perusahaan Perseroan PT strengthened 1.6%, while Unilever Indonesia Tbk PT rose 1.9%.