Market Roundup 10 July 2023


1) Thai stock market overview

Thailand’s SET Index closed at 1,496.89 points, increased 6.38 points or 0.43% with a trading value of 34 billion baht. The analyst stated that the Thai stock market moved narrowly in the same direction as regional markets that saw slight gains in today’s session. Investors were speculating on stocks with potential for a better performance in 2Q23, but upside was still limited as the market awaited the PM vote this Thursday, which should be the main guidance for the Thai stock market.


2) Alibaba jumps 5% as tech giant ‘Ant Group’ settles penalty with Chinese regulators

The share price of Alibaba Group (9988.HK) rose 3% at the open on Monday morning as investors hope the end of a regulatory crackdown with the tech giant is near.

The Chinese regulators slapped Alibaba’s affiliate Ant Group with a $984-million fine for violating laws and regulations. This was the largest-ever fine for an internet company in China.

The violation was in areas including corporate governance, financial consumer protection, payment and settlement business, as well as anti-money laundering obligations, according to the statement from the People’s Bank of China.

Ant Group had been pressured by this fintech crackdown for years, which derailed its plan to go public a few years ago. Now the market is expecting to see an end to this crackdown after the penalty.


3) Investment pledges in Thailand surges 70% YTD

During the first half of 2023, the Board of Investment (BOI) reported that investment applications totaled 364.4 billion baht and that foreign direct investment increased 141% year-over-year to 304 billion baht.

According to the report, China invested 61.5 billion baht in projects, making it the largest investor in the first six months, followed by Singapore (with 59 billion baht) and Japan (with 35.3 billion baht).

The increase in first-half investment applications was aided by the automotive and related parts industries, with 80 investment projects totaling 19.6 billion baht.

Thailand is already a key hub for regional automobile production, and now it aims to become a major hub for electric vehicle production in South-east Asia.

China’s BYD and Great Wall Motor are two companies whose EV production investment plans have been greenlit so far.