Opening of Thai economy expected to offset impact on SET from Fed decisions
The Stock Exchange of Thailand (SET) Index rose by 3.11 points, or 0.19 per cent, to 1,620.76 on Friday morning. The volume of total transactions was THB4.74 billion with an index high of 1,622.43 and a low of 1,619.65.
The SET Index closed at 1,617.65 on Thursday, down 7.14 points or 0.44 per cent. Transactions totalled THB88 billion with an index high of 1,631.69 and a low of 1,615.62.
Krungsri Securities predicted the SET Index would fall to between 1,605-1,610 points after the US Federal Reserve announced that it had begun discussions on asset tapering and expected two interest rate hikes by the end of 2023 amid continuing increase in inflation.
Krungsri said that this signal had led to the strengthening of the dollar, falling oil and gold prices and the outflow of foreign funds.
"Mass buy-ups of shares that gained positive sentiment from Thailand's reopening, and which will be listed on the FTSE Index, would help boost the index," Krungsri Securities said.
It recommended that investors buy:
▪︎ BCH, CHG, BDMS, MINT, CENTEL, ERW, AOT, CPALL, HMPRO, CPN, CRC, AAV, AMATA, WHA, BEM and BTS, which will benefit from the country's reopening.
▪︎ KTC, OR, BEC, DCC, EGCO, JMART, KEX, PTL, PSL, RBF, RCL, SAK, STARK, TTA and TRUE, which will be listed on the FTSE Index on June 21.
