Share prices of finance stocks in the Thai market after digesting information from the Fed’s meeting last night that resolved to keep rates unchanged, but also signalled for a possible hike in the future.
Ngern Tid Lor Public Company Limited (SET: TIDLOR) led the finance and hire purchase group in a loss on Thursday, plunging THB1.75 or 6.48% to THB25.25 per share at the closing of the morning session.
Muangthai Capital Public Company Limited (SET: MTC) lost THB1.50 or 3.59% to close the morning session at THB40.25 per share.
Srisawad Corporation Public Company Limited (SET: SAWAD) fell THB2.75 or 5.02% to THB52.00 per share.
Saksiam Leasing Public Company Limited (SET: SAK) dipped THB0.10 or 1.74% to THB5.65 per share.
Ratchthani Leasing Public Company Limited (SET: THANI) dropped THB0.04 or 1.21% to THB3.26 per share.
DBS Vickers Securities (DBSVS) noted that the signal by the Fed yesterday posted negative sentiment to finance stocks, including SAWAD, MTC, TIDLOR and hire-purchase stocks. The market is now expecting terminal rates at 5.6% by the end of this year, implying for two more hikes for 25bps each. The U.S. central bank would start cutting rates in 2024 to 4.6% by the end of the year and to 3.4% by year-end 2025.
