Bangkok - The Thai stock market fell nearly 4 per cent in early trading Wednesday but rebounded later in the day to close about 2 per cent down, with traders cashing in on earlier market gains.

The Stock Exchange of Thailand was down 15.20 points, or 2.04 per cent, to close at 731.47 on a volume of 46 billion baht (1.35 billion dollars).

"There was a panic in early trading due to rumours, but the market rebounded," said Therdsak Taweethiratham of AsiaPlus Securities. "In recent weeks the stock market has been rising. Now investors are profit-taking." (dpa)