Kaohoon Morning Brief – 10 June 2024

Tisco Securities expected Thailand’s SET Index to trade lower, moving in the same direction as regional markets after a rise in US bond yields and dollar from stronger job market reports, resulting in less anticipation for Fed’s rate cuts this year by the market. Meanwhile, there are political concerns in Thailand that keep pressuring the market as well.


French President Emmanuel Macron announced on Sunday his decision to dissolve the French parliament and initiate a new legislative nationwide vote following a significant defeat in the EU elections.

The unexpected move came in response to exit poll results showing Marine Le Pen’s far-right National Rally (Rassemblement National, or RN) leading in the polls with 31.5%, compared to Macron’s Renaissance party at 14.5%.

The first round of the parliamentary election is scheduled for June 30, with the second round set for July 7.


Numerous analysts predict that the Federal Open Market Committee (FOMC) will maintain its benchmark interest rates at their current 23-year high until at least September due to stagnant progress in addressing inflation and a strong labor market. If rate cuts do happen in September, it could widen the gap between the FOMC and the European Central Bank (ECB), which has already started easing monetary policy rates.

Following the release of the robust May jobs report, economists believe that a rate cut at the July meeting is unlikely. Federal Reserve Chairman Jerome Powell is expected to reiterate the Fed’s cautious stance on inflation in the upcoming meetings.