Market Roundup 2 February 2022

1) Thai stock market overview

Thailand’s SET Index closed at 1,667.75 points, increased 6.00 points or 0.36% with a trading value of 61 billion baht. The analyst stated that the Thai stock market continued to edge higher, following the movement in the global trend as countries are reopening and the economy is recovering. Meanwhile, the analyst stated that the overall 4Q21 earnings for corporates around the world came out positively.

The analyst still expected SET Index to continue on an uptrend tomorrow, giving a support level at 1,650 points and a resistance level at 1,680 points.


2) US crude inventories drop by 1.6 million, API reports

U.S. crude inventories for the week ending January 28, 2022, dropped by 1.6 million barrels, according to the report from the American Petroleum Institute (API) on Tuesday. The report also indicates that inventories at the Cushing delivery hub, Oklahoma, also dropped by 1 million barrels. Meanwhile, the report shows a climb of 5.8 million barrels for gasoline during the week.


3) Goldman Sachs expects OPEC+ to ramp up production amid  rising energy price

Goldman Sachs warns that OPEC+ could step up its production plan during Wednesday’s virtual meeting amid high energy prices.

Oil prices are “entering political intervention territory,” Goldman Sachs said in a report, citing that it no longer assumes OPEC+ to stick to its monthly increase of 400,000 barrels per day. However, Goldman Sachs remains bullish on the oil prices, saying that if OPEC+ brings forward its plan to increase output practically by 200,000 barrels a day, it would only make a $3 drop to the oil prices.


4) Australian central bank considering against rates hike in 2022

Top central banker of Australia on Wednesday said there are scenarios in consideration where interest rates could rise later this year. However, it was also possible a hike in rates might not come for another year or more.

Governor Philip Lowe of Reserve Bank of Australia (RBA) said that Australia had a unique opportunity to get unemployment rate down under 4% for the first time in 50 years and his office believes it was worth being patient on policy to achieve this economic objective.