Daily Strategy: CNS Expects Consumer Finance to Rise in 4Q and ICT to Reap Profit

Major stock markets in Asia traded lower on Thursday as investors struggle for directions amid a plummet in oil prices.


Thailand’s SET Index opened at 1,644.25 points, decreased 0.35 points or 0.02%.

As of 10:15 local time in Thailand on November 18, 2021, Nikkei dropped 0.80%, SSEC fell 0.34%, Hang Seng Index plunged 1.38%, IDX Composite dipped 0.36% while ASX 200 rose 0.13%.


The Biden administration has reportedly asked Japan, China and some of the world’s largest oil consumers to consider releasing some of their crude reserves in an effort to help relax the spike in oil price and also in a move to stimulate the economic recovery.

In the Asian trading session early morning, the international benchmark Brent crude dropped 0.57% to $79.82 a barrel while West Texas Intermediate fell 1.02% to $77.56 per barrel.


Mr. Koraphat Vorachet, Capital Nomura Securities’ strategist, through “Kaohoon Jor Talad” program on November 18, 2021, stated that the plummeting in oil price could be a major factor to pressure the Thai stock market in sideway-down trends, giving a support level at 1,630-1,621 points and a resistance level at 1,651 points, saying that the refinery and energy stocks could be accumulated on weakness once the correction in oil prices is stable.

For the investment in 4Q21, Mr. Vorachet recommended consumer finance, saying TIDLOR had strong 3Q21 performance while JMT and SINGER had strong partnership.

Moreover, the ICT sector is also in focus as the strategist stated that moving forward, operators would likely to recognize the revenue from their previous investment, especially the license for 5G and the shifting of digital transformation for corporations also required network connection of these operators, recommending ADVANC and TRUE.