Market Roundup 20 June 2022

1) Thai stock market overview

Thailand’s SET Index closed at 1,559.21 points, decreased slightly by 0.18 points or 0.01% with a trading value of 56 billion baht. The analyst stated that the Thai stock market edged lower on a selloff from the banking and energy-upstream stocks as well as JTS following the plummet in Bitcoin. However, the buying pressure in tourism stocks lifted the market in the afternoon to close near the flat line.

The analyst expected the market to build its ground to edge higher, giving a support level for tomorrow at 1,550 points and a resistance level at 1,575 points.


2) German producer price in May soars through the roof as inflation fears intensified

German Producer Price Inflation (PPI) rose by 33.6% in May, the highest level in its history amid rising commodity prices and surging costs from supply chain disruption.

The price in May was through the roof as manufacturers and other producers hiked their prices by a startling 33.6%, slightly but terrifyingly higher than the market forecast of 33.5%. The figure was higher than a 33.5% hike in April 2022 and 7.2% in May 2021.

German energy prices were 87.1% higher than a year ago, while metal prices jumped 38.1%, according to the Statistics body Destatis.

Meanwhile, fertilizers and nitrogen compounds more than doubled compared to last year. Livestock feed prices increased by 48.7%. Industrial gas prices are up 68.8% from last year.


3) BeerCo starts pre-marketing

The brewery arm of Thai Beverage Public Company Limited (SGX: Y92 or ThaiBev) has started pre-marketing a US$800 million–$1 billion Singapore Exchange IPO on Monday, June 20, 2022.

The IPO amount is lower than the market’s previous expectations of around US$2 billion as less than 20% of the capital will be on offer when the report first comes out in 2019. Some speculated that the spinoff could raise as much as US$3 billion.