Daily Strategy: AWS Sees Buying Power in Financial and Energy Sector on Rising Bonds

Major stock markets in Asia traded mostly higher on Tuesday as investors are looking forward to the Fed’s meeting next week in anticipation of an interest rate hike in March.

On January 18, 2022, Thailand’s SET Index opened at 1,682.21 points, increased 5.34 points or 0.32%.

As of 10:20 local time in Thailand, Nikkei rose 0.85%, SSEC increased 1.03%, Hang Seng Index gained 0.58%, ASX 200 edged 0.11% higher while IDX Composite slipped 0.19%.


Asia Wealth Securities (AWS) expects the SET today to move in a range of 1,655-1,685 points and remain stable in a sideways frame as the SET lacks new positive factors. The interesting issue is the Fed meeting on 25-26 Jan, where market consensus expects the Fed to accelerate interest rate hikes in March. It should focus on speculation only positive stocks such as GULF that recently signed a memorandum of understanding with Binance Group to jointly study and develop a digital asset exchange business development plan. AWS sees this as positive, including speculative buying power in the financial group and energy sector due to bond yields and crude oil prices that continue to increase in the short-term.

In addition, AWS chooses BLA, PTTEP, PTT, SPRC, TOP, KBANK and BBL, as well as domestic play stocks that benefit from government stimulus measures.