On Tuesday at 10:48 AM (Bangkok time), the share price of PTT Global Chemical Public Company Limited (SET: PTTGC) soared by 3.64% or THB 1.00 to THB 28.50, with a trading value of THB 372.39 million.
SCG Packaging Public Company Limited (SET: SCGP) jumped by 4.35% or THB 1.25 to THB 30.00, with a trading value of THB 374.36 million.
Indorama Ventures Public Company Limited (SET: IVL) rose by 0.41% or THB 0.10 to THB 24.60, with a trading value of THB 367.90 million.
Precious Shipping Public Company Limited (SET: PSL) increased by 3.41% or THB 0.30 to THB 9.10, with a trading value of THB 112.46 million.
Regional Container Lines Public Company Limited (SET: RCL) grew by 2.97% or THB 0.75 to THB 26.00, with a trading value of THB 112.83 million.
Krungsri Securities (KSS) noted in a report that the People’s Bank of China (PBOC)’s decision to decrease the 14-day reverse repo rate by 10 basis points to 1.85% is viewed as a favorable outcome for stock markets. The analyst also anticipated further economic stimulus measures from China, particularly a reduction in the 7-day reverse repo rate, which is expected to take precedence as the primary policy rate over the current one-year medium-term lending facility rate (MLF).
In addition, the PBOC also intends to cut the reserve requirement ratio (RRR) for banks by 50 basis points in the near future to stimulate increased lending by banks. Should the announcement align with analysts’ projections, this initiative is poised to positively impact not only the Chinese and Hong Kong markets but also other markets in the region. Moreover, Thai businesses linked to the revival of the Chinese economy, such as SCGP, STA, SCC, and IVL, stand to benefit from these developments.
Yuanta Securities stated that the injection of additional liquidity into the economy through financial policies as part of China’s economic stimulus is viewed as a favorable development for stocks employing the ‘China Play’ strategy. Companies such as PTTGC, IVL, SCGP, STA, MALEE, AAV, PSL, RCL, and WICE are expected to benefit from this positive sentiment.
