Market Roundup 3 July 2024

Thailand’s SET Index closed at 1,294.70 points, increased 6.12 points or 0.47% with a trading value of 27.59 billion baht. The analyst stated that the increase was in tandem with regional markets after the US Federal Reserve signaled potential rate cuts. The market was also supported by the speculative buy of commercial bank stocks ahead of the announcement of 2Q24 performance.

The analyst expected the market to trade sideways tomorrow, as investors kept their eyes on the clarification of political uncertainties in the country, including the dissolution of the Move Forward Party, which the Constitutional Court delayed the consideration date as indefinite, and the case of Prime Minister Srettha Thavisin.


Federal Reserve Chairman Jerome Powell emphasized the importance of monitoring inflation trends, noting a potential return to a disinflationary path based on recent data.

Powell highlighted the Fed’s need for increased confidence in inflation sustainably reaching the 2% target before considering any policy adjustments. While acknowledging progress in addressing inflation, Powell expressed the necessity for further assurance before implementing cuts. Projections indicate that headline PCE inflation could reach the mid to low 2% range within a year, with expectations for a return to 2% inflation by late next year or the following year.


The World Bank expected Thailand’s economy to expand by 2.4% this year, a decrease from the 2.8% projection in April. The lower growth forecast is attributed to weaker-than-expected exports and early-year public investment.

The growth of Southeast Asia’s second-largest economy will be underpinned by sustained consumer spending, a gradual recovery in the tourism sector, and a rebound in exports.


A private-sector survey indicated that China’s services activity expanded at its slowest pace in eight months in June, with confidence hitting a four-year low.

The Caixin/S&P Global services purchasing managers’ index (PMI) dipped to 51.2 from 54.0 in May, the lowest reading since October 2023. Meanwhile, the sector maintained expansion for the 18th consecutive month, as the 50-mark separates expansion from contraction.


South Korea’s government is preparing financial assistance for small businesses grappling with challenges attributed to high interest rates.

President Yoon Suk Yeol highlighted the persistent difficulties faced by small enterprises, including heightened interest burdens, escalating wage and rent costs. The government has earmarked a total of 25 trillion won ($18 billion) in support measures to alleviate these pressures.


The European Union is facing a dilemma as member states weigh the decision to support additional tariffs on Chinese-made electric vehicles, amid Beijing’s warnings of potential widespread retaliation.

A Reuters poll of EU governments revealed that most countries are currently assessing the benefits and drawbacks of escalating the trade dispute. The matter will soon be put to an advisory vote among members, marking a pivotal moment for the European Commission’s largest trade case.