Mr. Koraphat Vorachet, Assistant Director and Division Head of Research at Krungsri Securities (KSS), said in the “Kaohoon” program on November 5, 2026, that the Thai stock market is poised for a recovery following political clarity in the U.S. midterm elections.
The Democratic Party secured majorities in both the Senate and the House of Representatives, helping reduce uncertainty surrounding U.S. economic and fiscal policies, as legislative initiatives under President Donald Trump will require greater negotiation with Congress.
Furthermore, the election outcome increases the likelihood of easing tensions between the U.S. and Iran, pushing crude oil prices down. Meanwhile, the U.S. Treasury yields softened due to bond-buying pressure, which, combined with a weaker US dollar, serves as a supportive driver for capital inflows into emerging markets, including the Thai stock market.
However, the Thai benchmark may face initial trading volatility, particularly in energy equities, which are pressured by the rapid decline in crude prices despite many companies maintaining sound financial performance. Meanwhile, technology stocks could experience short-term profit-taking before buying pressure in other sectors steps in to support the index.
Regarding artificial intelligence and data center investment trends, major U.S. technology companies (Hyperscalers) are expected to continue expanding their capital expenditures. Nevertheless, policy constraints and power generation limits in the U.S. could divert a portion of these investment flows into Asia, particularly Thailand and Malaysia, which offer infrastructure readiness, strategic locations, and relatively low geopolitical risk.
Thailand stands to benefit from the expansion of the data center business, which will drive electricity demand for processing and cooling systems. Coupled with the growth of the AI industry and the manufacturing sector, this could propel the power sector into a long-term growth phase, or power super cycle, spanning from late 2026 through 2030. Beneficiary sectors include power plants, commercial banks, industrial estates, construction contractors, and information and communication technology (ICT), as well as DELTA, which is linked to energy infrastructure and cooling systems.
For investment strategy, the SET Index in the range of 1,470 – 1,500 points represents an attractive level for gradual accumulation. The equity risk premium is near the average plus 1.5 standard deviations, reflecting that Thai equities have returned to appealing valuation levels. Investors who have not yet increased their allocation can utilize market pullbacks as an opportunity to accumulate shares.
As for listed companies’ earnings trends currently being released, the hospital sector is expected to report robust profits, alongside electronic components manufacturers, particularly KCE. The tourism sector may post earnings above market expectations, while finance stocks could recover as asset quality concerns ease, following commercial bank results that showed no significant deterioration in asset quality.
For today’s SET direction, support levels are evaluated at 1,490 and 1,485 points, with resistance levels at 1,515 and 1,525 points. Investors are advised to adopt a defensive strategy during market pullbacks and pause investments in oil-sensitive energy stocks until selling pressure abates.
Sectors of interest include power plants, finance, and ICT, which stand to gain from declining interest rates and oil prices, alongside expanding data center investments. The top recommended stock picks are GULF, GPSC, and ADVANC.
