Mr. Kitpon Praipaisarnkit, Senior Executive Vice President at UOB Kay Hian Securities (Thailand), stated that the Stock Exchange of Thailand (SET) Index closed the morning session lower by 0.67%, or 9.96 points, at 1,483.95 points, moving in tandem with regional markets.
The market also came under pressure from concerns surrounding the election situation, following comments from legal experts and academics suggesting that the upcoming election may not be confidential, resulting in risks that it could be declared invalid.
In addition, the SET Index has risen from a low of 1,234 points by 250 points within just a month. As a result, the index has delivered a year-to-date (YTD) return as high as 18.6%, making the upside potential for many stocks rather limited and paving the way for profit-taking.
Furthermore, the market is experiencing profit-taking in tourism stocks after considerable gains over the last 2-3 weeks, driven by speculation over increased Chinese tourist arrivals during the Chinese New Year festival. However, as the festival comes to an end, profit-taking has normalized, and there are no additional negative factors or bad news impacting the market at this time.
As for the outlook for the SET Index in the afternoon, the index is expected to remain volatile within a narrow range and the upside remains limited. It is projected that the 1,480-1,500 point zone will continue to see selling pressure.
Key factors to watch next week include the certification of election results and clarity regarding government formation. Close attention must also be paid to the risk that the election could be declared void, especially after a petition was filed with the Constitutional Court. The investment range is projected to be with support at 1,473 points and resistance at 1,493 points.
The top five securities by trading value in the morning session are as follows:
True Corporation PCL (SET: TRUE): Trading value THB 6.9 billion, closed at THB 14.00 per share, up THB 0.30 or 2.19%.
PTT PCL (SET: PTT): Trading value THB 4.49 billion, closed at THB 37.50 per share, unchanged.
Bangkok Bank PCL (SET: BBL): Trading value THB 3.38 billion, closed at THB 174.00 per share, up THB 4.00 or 2.35%.
Kasikornbank PCL (SET: KBANK): Trading value THB 3.01 billion, closed at THB 204.00 per share, down THB 1.00 or 0.49%.
CP All PCL (SET: CPALL): Trading value THB 2.03 billion, closed at THB 52.75 per share, down THB 1.75 or 3.21%.
