Brokers project neutral outlooks for the Thai stock market on Monday, as investors are monitoring several potential catalysts ranging from the Middle East development to a central bank meeting. Energy sector stocks are expected to offer crucial support due to sustained high oil prices.
TISCO Securities expects the Thai benchmark to trade sideways, citing the absence of significant new factors influencing the market. Energy shares, with considerable weighting in the index, are likely to boost the overall market, benefiting from continued strength in oil prices.
The analyst recommends monitoring the upcoming Jackson Hole meeting for signals on the Federal Reserve interest rate policy.
The securities firm sets a support level for the SET Index at 1,600 – 1,605 points, and a resistance level at 1,630 points.
Meanwhile, Daol Securities anticipates the Thai bourse to trade within a weekly band of 1,600 to 1,655 points. The broker highlights several upcoming events that could sway market sentiment, including U.S.-Iran negotiations, the release of PCE inflation data, NVIDIA’s earnings report, and the Monetary Policy Committee’s policy meeting.
While these factors may introduce volatility, Daol noted that if events turn unfavorable, there could be profit-taking in Thai equities. Nonetheless, the broker expects that the index could still hold above the 1,600-point level, citing solid underlying fundamentals.
Last Friday, Thailand’s SET Index closed at 1,613.78 points, increased 3.79 points or 0.24%, with a trading value of THB 70.64 billion.
