On Wednesday, the Pheu Thai Party is preparing to announce the dissolution of parliament after the People’s Party publicly declared its intention to support Anutin Charnvirakul for the Prime Minister position
TISCO Securities notes that this move toward dissolution could trigger significant turbulence. There is ongoing debate over whether the current government has the authority to dissolve parliament under these circumstances, and a Constitutional Court ruling may be needed—potentially prolonging political uncertainty and increasing the risk of renewed public protests. These developments are unlikely to bode well for the market.
The SET Index is expected to react negatively to these political shifts, with key support level seen at 1,230. Investors are urged to closely monitor political changes. Meanwhile, fundamentally strong, defensive stocks with high dividends are seen as safe havens and are expected to outperform the broader market. TISCO recommends ADVANC, CPALL, BDMS, EGCO, GPSC, GULF, ICHI, MC, and TVO.
