Brokers project neutral-to-negative outlooks for the Thai stock market on Thursday, due to pressure from higher global crude prices and inflation concerns. The SET Index may receive some support from energy and petrochemical shares, but broader market sentiment remains fragile.
FSS International Investment Advisory Securities expects the Thai benchmark to move sideways-down in early trading, as oil prices break through the $100 threshold and higher U.S. Treasury yields are likely to weigh on investor appetite.
While oil-linked shares could help limit losses, the brokerage expects selling pressure in technology stocks and other sectors.
The securities firm set a support level for the SET Index at 1,605 points, and resistance level at 1,620 – 1,625 points.
Daol Securities also sees the Thai bourse moving sideways, citing a lack of fresh catalysts. The firm said elevated oil prices and inflation concerns remain the main factors influencing market direction.
The analyst noted that investors are watching the European Central Bank meeting today and U.S. inflation data due Friday.
Yesterday, Thailand’s SET Index closed at 1,617.89 points, decreasing by 4.00 points or 0.25%, with a trading value of THB 81.33 billion.
