Thailand’s SET Index closed 0.12% lower at 1,299.35 points with low volume due to selloffs and foreign investors divesting. Asian factory activity expanded in June, driving gains as investors monitor political uncertainties and upcoming court deliberations.
Thailand’s Stock Market Performance
Thailand’s SET Index closed at 1,299.35 points, marking a 0.12% decrease, as the market experienced low volume and selloffs that led foreign investors to divest. Despite concerns, Asian factory activity expanded in June. Asian stocks are on track for a fifth consecutive month of gains, driven by expectations of US interest rate cuts and the yen’s decline, with Thailand’s stock market witnessing foreign investors selling off shares while retail and institutional investors remained net buyers.
Thai Stock Market Trends
The SET Index dropped below the critical 1,300 points due to domestic political uncertainties, prompting regulators to impose new rules to manage short selling and market volatility. Investor sentiment is also impacted by upcoming political deliberations and the US election debate. Analysts predict further sideways trading with a focus on the banking sector’s second-quarter financial reports, projecting declining net profit and sluggish loan growth.
Asian Economic Activities
In Asia, factory activity expanded in June despite concerns about weak Chinese demand. China’s Caixin/S&P Global PMI hit a three-year high, while South Korea saw a rise in new orders and Japan’s growth slowed due to a weakened yen. The IMF forecasts a slight deceleration in Asia’s economic growth over the next few years, with ongoing concerns about financial services in Myanmar being addressed by Thai officials to align with international standards.
Source : Market Roundup 1 July 2024