1) Thai stock market overview
Thailand’s SET Index closed at 1,589.18 points, increased 8.91 points or 0.56% with a trading value of 63 billion baht. The analyst stated that the Thai stock market moved in the same direction as regional markets in response to buying power in big-cap stocks, including bank, finance and tourism stocks. The analyst expected SET Index to extend its gain tomorrow to test the resistance at 1,600 points while giving a support level at 1,580 points.
2) Thai refining stocks extend gains as OPEC+ makes sharp output cut
Major stocks in the refining and oil sectors extended gains on Thursday after OPEC+ agreed to steep oil production cuts overnight, in bid to curb supply in an already tight market.
The Organization of the Petroleum Exporting Countries and its allies known as OPEC+ agreed on Wednesday to a production cut of by 2 million barrels per day from November in an attempt to recover declining crude oil prices in the last few months.
Daol Securities forecasts that OPEC’s latest move will steadily push up global crude oil prices, with the price recovery starting in 4Q22. This year, Dubai crude oil could reach $105.0 per barrel.
3) Half of companies expected to quit coal return with more projects
German campaign group Urgewald and other 40 NGO partners published its finding that 490 of the 1,064 companies, representing 46% of Global Coal Exit List, were committed to developing new projects including new coal power plants, coal mines or new coal transport infrastructure.
Demand for coal power has risen after the sanction of Russian energy by western countries as Europe are facing the most impact after Russia completely cut off gas transmission through its Nord Stream pipeline to Europe, multiplying the bloc’s energy crisis even further as citizens are facing rising energy bills.