Brokers project neutral-to-negative outlooks for the Thai stock market on Tuesday, as rising bond yields and renewed concerns over Federal Reserve policy pressure risk appetite. Domestic catalysts remain limited, keeping investors focused on external signals and upcoming economic data.
FSS International Investment Advisory Securities (FSSIA) expects the Thai benchmark to soften in morning trade, citing continued increases in U.S. Treasury yields, which have reached 5.24%. The brokerage said concerns over Fed’s additional rate hikes continue to pressure the market sentiment.
Domestically, the market still lacks fresh positive drivers. Although flooding conditions have eased, FSSIA expects the situation to have a short-term economic impact.
The securities firm set a support level for the SET Index at 1,590 points, and a resistance level at 1,610 points.
Daol Securities estimates the Thai bourse to move within a 1,580 – 1,620 range this week. The analyst noted that investors are monitoring U.S. economic indicators and policy signals, including remarks from FOMC members, PCE data and labor figures, to assess the future direction of monetary policy.
Market participants are also watching developments related to the Iran war and a Constitutional Court ruling, both of which may affect traders’ confidence and foreign fund flows, Daol added.
Yesterday, Thailand’s SET Index closed at 1,602.37 points, decreasing by 5.26 points or 0.33%, with a trading value of THB 49.70 billion.
