Thailand’s SET Index Surges over 1% as Foreign Inflow Shows Sign of Returning amid Easing Political Issues

Thailand’s stock benchmark rose in the morning session on Friday as political issues in the kingdom showed signs of progress that eased concerns of investors.

The main bourse SET Index increased 19.50 points or 1.32% to 1,499.07 points as of 11:10 BKK time on Friday. The market also saw one of the largest foreign inflows to the equity market this month from yesterday’s session that brought the Thai bourse up by 0.86% to 1,479.57 points.

The Thai stock market had been on a decline since the election in mid-May, a movement not seen in the last couple of election events as the index tended to rise a month after the general election. Uncertainties over political issues became a negative sentiment to the market, while foreign investors net sold more than 10 billion baht of securities in June, bringing the performance of SET Index down by nearly 4% in June and more than 11% since the beginning of this year.

The top candidate in becoming the leader of Thai government “Move Forward Party” and the runner up “Pheu Thai Party” was seen discussing to reach a middle ground in dividing positions in the government, especially the controversial chairman position of the parliament.