Market Roundup 3 March 2023

1) Thai stock market overview

Thailand’s SET Index closed at  1,606.88 points, decreased 5.76 points or 0.36% with a trading value of 57 billion baht. The analyst stated that the Thai stock market closed lower in response to the pressure for a selloff in electronic stocks, especially DELTA.

The market lacked positive catalysts while being pressured by Fed’s potential rate hikes. The analyst noted that there is a possibility that the SET Index will edge closer to the resistance level of 1,600pts next week.


2) Thai baht strengthens against dollars as investors weigh on fed’s rate decision

The US dollars are depreciating against Thai baht as traders gauge the Federal Reserve’s path in hiking interest rates after Atlanta Fed President Raphael Bostic said that slow and steady would be appropriate.

The US dollars against Thai baht were -0.34% at THB 34.70 as of 17:04 BKK time on Friday, edging lower from over three-month high of THB 35.22 earlier this week.

Atlanta Fed President Raphael Bostic stated last night that slow and steady is going to be the appropriate course of action. His comment came despite new labour figures adding to the run of strong data as of late.

Meanwhile, the Dollar Index, which tracks the greenback against major currencies, dropped 0.27% to 104.745


3) China’s February services sector rises fastest in six months

The services purchasing managers index in China increased to 55 in February from 52.9 in January, marking the fastest rate of growth in the sector in six months.

Caixin reported that this was even faster than the average of 53.7 in the series. In terms of monthly change, growth or decline is indicated by a reading above or below 50.

According to Caixin, new business saw its biggest increase since April 2021 thanks to the loosening of Covid-19 regulations, which in turn increased client numbers and demand.

The increase of fresh export orders also picked up speed, reaching a four-year high.


4) TRUE shares resume trading at THB8.55 after merger with DTAC

The shares of True Corporation resumed trading on Friday after Thailand’s number two phone operator and Total Access, widely known as DTAC, concluded their merger earlier this week.

On Friday (March 3), shares of True Corporation (SET: TRUE) were traded at a price of THB8.55 per share, for a total market value of THB2,754 million, a decrease from the closing price of THB8.51 on February 17, the final trading day before trading was suspended to complete the merger.