Market Roundup 2 December 2022

1) Thai stock market overview

Thailand’s SET Index closed at 1,641.63 points, decreased 6.81 points or 0.41% with a trading value of 53 billion baht. The analyst stated that the Thai stock market edged lower in the same direction as regional markets after a series of rallies while investors showed concerns of economic slowdown, seeing a shrink in the U.S. PMI. The analyst advised investors to monitor US non-farm payroll and job reports, giving a support level at 1,600 points and a resistance level at 1,660 points for next week.


2) Credit Suisse shares hit record low despite ongoing restructuring as CDS soars 700%

Credit Suisse is reportedly cutting at least a third of its debt sales positions globally as part of its restructuring program, which would result in thousands of job cuts along with a new strategic plan that would significantly downsize its investment banking and trading business.

However, its share prices had plummeted to record low at CHF2.70 at the closing on December 1, 2022, as earlier capital increase of news shares at CHF2.82 for nearly 890 million shares were seen as risks that underwriting banks might be holding unwanted shares.

Meanwhile, the five-year credit default swaps (CDS) of Credit Suisse that sparked a huge selloff in October continues to increase, rising from around 250bps in early October to 441bps as of November 30, 2022. Credit Suisse’s CDS saw a sharp increase at 700% so far this year, rising from 55bps on January 4, 2022.


3) Proceeds of IPOs going to secondary market in NYSE shockingly plunge by 93%

New York Stock Exchange (NYSE) has seen IPO proceeds plunging sharply in 2022 due to volatility and market uncertainty that caused new listing companies to shy from the market.

According to the president of the New York Stock Exchange Lynn Martin in an interview at the Reuters NEXT conference, IPO proceeds in the world’s biggest exchange so far this year was down 93% compared to last year.