1) Thai stock market overview
Thailand’s SET Index closed at 1,677.24 points, increased 3.02 points or 0.18% with a trading value of 76 billion baht. The analyst stated that the Thai stock market moved in sideways trends after the U.S. non-farm payroll came out higher than expected, raising concerns of the Fed’s tightening monetary policy at a higher and faster pace than expected, while the U.S. bond yield also rose over 1.9%.
The analyst expected SET Index to move in sideways trends tomorrow while waiting for the U.S. inflation data, giving a support level at 1,650-1,660 points and a resistance level at 1,680-1,685 points.
2) ECB could end stimulus program earlier than planned
The European Central Bank’s policy maker Martins Kazaks said the central bank could end its stimulus program earlier than planned. However, it is unlikely interest rates will be raised in July as investors are expecting.
The Eurozone inflation was at a record high of 5.1% in January, which was more than twice the ECB’s 2% goal.
3) Investors confidence projects to drop in the next three months
Confidence of the investor in Thailand’s equity market over the upcoming three months dropped to a six-month low on concerns about the Federal Reserve’s monetary tightening plan and sluggish economic rebound, a survey by the Federation of Thai Capital Market Organizations (FETCO) showed. Investor’s confidence index tumbled to 93.91 from 129.53 the previous month.
Foreign investors’ confidence plunged to the “bearish zone” from the “bullish zone”, hurt also by international conflicts, the federation said. However, foreign fund inflows are expected to continue on optimism over a tourism recovery, said federation chairman Paiboon Nalinthrangkurn.
