On Friday, FSS International Investment Advisory Securities expects the Thai market to exhibit downward movement after investors have largely priced in political factors, leading the SET Index to the ‘Overbought’ level.
Meanwhile, there are downward sentiments from foreign markets due to concerns over AI disruption to traditional businesses, coupled with a higher valuation of U.S. tech stocks.
The securities firms set a resistance level for the SET Index at 1,440 – 1,450 points and a support level at 1,420 – 1,430 points for today’s session.
Daol Securities stated that the SET Index still has positive momentum from the progress on the formation of the new government and foreign fund inflows toward Asian markets. This resulted in foreign investors’ net buy of THB 10,556 million and THB 1,271 million in Thai equities and bonds, respectively. This caused the baht to strengthen and closed at THB 30.94/95 per U.S. dollar, with the index potentially surging as high as 1,450 points.
For politics, the Bhumjaithai Party unveiled three minor parties to join its coalition, which boosted political stability, while the prime minister showed confidence in the Thai economy and reaffirmed fiscal discipline.
For tonight, the analyst recommends investors closely monitor the U.S. CPI, which is expected at 2.48% YoY. Should the figure come out lower, it may become a positive factor for the market.
Yesterday, Thailand’s SET Index closed at 1,441.53 points, increased 29.83 points or 2.11%, with a trading value of THB 78.41 billion.
