Kaohoon Morning Brief – 24 April 2024

Krungsri Securities (KSS) expected Thailand’s SET Index to challenge the resistance level at 1,355-1,360 points, in response to the easing situation in the MIddle East and a buying pressure on stocks with specific catalysts. Meanwhile, a preview of earnings season could give the Thai stock market a boost. However, Thai baht is on a losing trend, which is negative to the fund flows and will limit upside for the stock market.


According to the minutes of the Bank of Thailand’s monetary policy meeting on April 10, 2023, Thailand’s economy is predicted to expand at a quicker rate in 2024 compared to 2023, driven by strong private consumption and a resurgence in tourism, while the financial system remains resilient. However, uncertainties continue to linger.


Goldman Sachs analysts have identified three key areas where they expect policy actions based on recent directives. These areas include bolstering capital market supervision and governance, enhancing the quality of listed companies (potentially through stricter IPO thresholds and robust delisting mechanisms), and improving shareholder returns.

Goldman’s analysis suggests that if A-shares can narrow the gaps with global averages in these areas, they could witness a potential 20% increase in value. In a more optimistic scenario where A-shares align with the standards of leading global peers, the analysts believe they could experience a re-rating of up to 40%.