Thailand’s SET Index closed at 1,464.69 points, decreased 5.03 points or 0.34% with a trading value of 49.11 billion baht. The analyst stated that the Thai stock market exhibited volatility in alignment with regional counterparts. Foreign investors repositioned their portfolios following the acknowledgment of the US presidential election outcomes, along with underwhelming performances by the majority of listed firms, sparking apprehensions of upcoming forecast downgrades.
The analyst expected the Thai market to potentially exhibit a slight downward trend next week.
The Federal Reserve in the United States has reduced interest rates by 0.25 percentage points in response to a labor market that has shown signs of softening, along with inflation gradually moving closer to the central bank’s desired 2% target.
Following this development, Hong Kong and most Gulf Cooperation Council (GCC) central banks also lowered their key interest rates as their currencies are tied to the U.S. dollar.
During the day, Thai baht briefly strengthened below THB34 level against the US dollar after the Fed delivered a 25bps rate cut before reversing back to slightly above the THB34 level.
China revealed its plan to allocate an additional 6 trillion yuan ($840 billion) from the central government to local authorities to address hidden debt concerns. The initiative, implemented this year and continuing until 2026, will distribute around 2 trillion yuan annually.
