Kaohoon Morning Brief – 1 April 2024

Krungsri Securities (KSS) expected Thailand’s SET Index to move within the range of 1,370-1,390 points, pressured by the strong US manufacturing data in March that rose to 50.3, which dented hopes for a Fed’s rate cut in June and resulted in an acceleration of bond yields. However, the analyst expected a buying pressure on stocks with specific catalysts should help boost the index to bounce back.


US March ISM manufacturing came in at 50.3 vs 48.5 expected, jumped from 47.8 in February.  The ISM Manufacturing sentiment is back in expansion territory for the first time since September 2022. The improvement was driven by production and new orders.

Meanwhile, US S&P global manufacturing PMI for February was at 51.9 vs 52.5 expected and down from 52.2 in January.

S&P Global Manufacturing PMI signaled a further encouraging improvement in business conditions in March, adding to signs that the US economy outlook is becoming stronger and expanding at a solid pace again in the first quarter.


Thai baht depreciated against US dollar, as the greenback gained 0.66% to THB36.65 per dollar on April 2, 2024, the highest level since October last year. The outlook for Thai baht has weakened following a rise in bond yield as a full Fed rate cut is getting pushed back toward September now. Meanwhile, the market is expecting the Bank of Thailand to cut rates this month.