Market Roundup 8 December 2022

1) Thai stock market overview

Thailand’s SET Index closed at 1,620.49 points, decreased 1.79 points or 0.11% with a trading value of 42 billion baht. The analyst stated that the Thai stock market was quiet in today’s session as investors concerned about global recession and slowdown of their investment ahead of Thailand’s long holiday. The analyst stated that investors continued to monitor ECB and Fed’s meeting as well as FTSE rebalance. There is a 80-90% chance that the Fed will increase policy rate by 50bps, resulting in stronger Thai baht. Thus, the analyst recommended investors to accumulate stocks for profit taking next week.


2) Morgan Stanley cuts additional 3 million units of iPhone shipment after unrest in China

Morgan Stanley cut its forecast of Apple iPhones shipment for the quarter ending December 2022 by another three million units after the firm was reportedly cutting shipment by six million units in November.

From the original forecast of 85 million units, the figure is now down to 75.5 million due to the unrest in China, according to Morgan Stanley.


3) Thailand’s consumer confidence up to 20-month high in November

Consumer Confidence in Thailand surged to a 20-month high in November as most business sectors began to show signs of recovery and tourism continued to grow strongly since the country’s reopening.

The University of Thai Chamber of Commerce (UTCC) reported on Thursday that the consumer confidence index increased to 47.9 in November from 46.1 in October, marking the sixth straight month of growth and the highest level since April 2021.

Thanavath Phonvichai, president of the UTCC, stated that consumers believed the overall economy was improving as most business sectors resumed operations after Thailand reopened its borders and foreign travelers gradually returned.

However, consumers in Thailand are still anxious about rising living costs as a result of the Russia-Ukraine war, and many central banks around the world are increasing interest rates to combat inflation.


4) Japan raises Q3 GDP while global crisis and Covid risks remain

The Japanese economy contracted by 0.8% on an annualized basis in the third quarter, with economists’ median forecast for a 1.1% decline in a Reuters poll and an early official estimate of a contraction of 1.2%.

The higher shift in private inventories drove the revision, which compares to a 4.5% annualized quarterly gain in the prior quarter.

The Cabinet Office also announced a 64.1 billion yen ($469.3 million) deficit in the unadjusted current account balance on Thursday. A separate Reuters poll predicted a surplus of 623.4 billion yen, which was much lower than the reading.

Japan’s GDP dropped unexpectedly in the third quarter amid global recession fears, China’s weakening economy, a weak yen, and rising import costs harmed consumption and businesses.