Analyst Expects Economic Slowdown and Covid Surge in China to Weigh on Thai Stocks

Mr. Chanchai Pantathanakij, assistant director of research department of Asia Plus Securities Company Limited, said that the Thai stock exchange is expected to move negatively, in line with the decline of Asian stock, U.S. stock, and European stock markets, despite the fact that the US producer price growth is quite high, the market still concerns on the ongoing economic slowdown.

Furthermore, concerns on the COVID-19 pandemic in China returned to the market, which could affect the global economy and cause the price of oil to fall continuously. The impact could pressure the energy sector, which would weigh on the main index.

Meanwhile, concerns on the missiles hitting Poland had subsided after NATO accepted that the incident was caused by Ukraine’s air defense. Asia Plus gave a resistance level of 1,630-1,635 points and a support level of 1,610-1,615 points.