Thai banking stocks surge on the first trading day of 2022, as US Treasury yields hit their highest level since November on Monday and investors shrug off concerns about the COVID-19 omicron variant.
As of 12.30 hrs. local time in Thailand, the share price of Krung Thai Bank Public Company Limited (SET: KTB) rose THB0.40/share or 3.03% to THB13.60/share, with a trading value of THB841 million.
The share price of Bangkok Bank Public Company Limited (SET: BBL) rose THB3.00/share or 2.47% to THB124.50/share, with a trading value of THB1,240 million.
The share price of Kasikornbank Public Company Limited (SET: KBANK) rose THB3.50/share or 2.46% to THB145.50/share, with a trading value of THB2,654 million.
The share price of The Siam Commercial Bank Public Company Limited (SET: SCB) rose THB1.50/share or 1.18% to THB128.50/share, with a trading value of THB1,409 million.
The share price of TMBThanachart Bank Public Company Limited (SET: TTB) rose THB0.01/share or 0.68% to THB1.48/share, with a trading value of THB642 million.
RHB Securities (Thailand) said that Thai banking stocks are up in response to rising US bond yields, while fears over the newly identified omicron COVID variant have lessened, The market also expects the Federal Reserve’s first rate hike to arrive sooner, as the US inflation rate has risen to a 39-year high in November.
Meanwhile, RHB believes that the Monetary Policy Committee (MPC) would maintain its policy rate at 0.50 percent year-round as long as the ongoing omicron outbreak is subdued, resulting in a positive stock market sentiment.
