1) Thai stock market overview
Thailand’s SET Index closed at 1,594.73 points, increased 5.57 points or 0.35% with a trading value of 50 billion baht. The analyst stated that the tension in the market started to ease after no confrontation between China, Taiwan and the U.S. as the Thai stock market moved in sideways trends and closed slightly higher.
The analyst stated that the SET Index still lacks positive drivers to get pass 1,600 level, while advising investors to monitor Beijing and Washington’s trade talks after this.
2) BoE is expected to raise 50bps interest rate tomorrow
The Bank of England (BoE) is widely expected to raise interest rates by 50 basis points on Thursday as part of its move to slow down inflation rate.
A 50bps hike would be BoE’s largest single increase since 1995, which would take its borrowing costs to 1.75%.
Bank of England Governor Andrew Bailey earlier in July signalled for a hawkish move by hiking interest rate by 50bps while saying that there would be “no ifs or buts” in BoE’s commitment to returning inflation to its 2% target.
3) China advises airlines to avoid flying over danger zones around Taiwan
China designated danger zones for military exercises and advised airlines to avoid flying in these areas around Taiwan.
After the U.S. House of Representatives Speaker Nancy Pelosi arrived in Taiwan last night, the PLA had announced six exercise areas around Taiwan island, the closest being only 9 nautical miles from the coast of Taiwan. During this period, the waterways of Taiwan’s main ports will be blocked during the drills.
