Thailand’s SET Index closed at 1,345.66 points, decreased 5.86 points or 0.43% with a trading value of 74.81 billion baht. The analyst stated that the Thai stock market decreased as the decline of BTS dragged the index down for nearly 1 point, while there were no supporting factors. Meanwhile, investors awaited the announcement of PCE figures from the US coming tonight.
The analyst expected the market to continue dipping, while investors kept their eyes on the recovery of the long-term equity fund (LTF).
China has announced plans to impose export restrictions on certain aviation and aerospace components and technologies starting July 1, in an effort to safeguard national security.
The decision comes as part of the country’s commitment to enhancing national security measures and meeting international obligations, such as non-proliferation, according to a spokesperson from the Ministry of Commerce.
The new regulations will require export licenses for the export of items such as equipment, software and technologies related to aerospace structural components, engine manufacturing and manufacturing of gas turbines.
US officials have reportedly delayed the issuance of licenses to semiconductor giants like Nvidia and Advanced Micro Devices (AMD) for the export of large-scale artificial intelligence (AI) accelerators to the Middle East. This move comes as part of a broader national security review of AI development activities in the region, according to individuals familiar with the situation.
The review is especially targeting high-volume sales to nations like the United Arab Emirates (UAE) and Saudi Arabia, where there is a growing demand for AI data center chips.
One of the key apprehensions driving this scrutiny is the potential for China to circumvent restrictions and access American technology through data centers in the Middle East, while the Biden administration actively seeks to prevent China from acquiring advanced semiconductors and manufacturing equipment.
Economists from Citigroup Inc. and Nomura Holdings Inc. have highlighted the substantial risks facing Prime Minister Srettha Thavisin’s $13.6 billion cash handout strategy aimed at revitalizing Thailand’s economy.
Recent legal challenges against Srettha and former leader Thaksin Shinawatra suggest a resurgence of political turmoil in Thailand, potentially leading to delays or disruptions in economic policies, according to analysts.
Both Citigroup and Nomura foresee hurdles for Srettha’s administration in funding the cash handout, with doubts looming over the approval of a $3.3 billion supplementary budget. Political tensions within parliament have made the passage of the budget uncertain, as certain lawmakers remain hesitant about supporting the fiscal stimulus plan.
Potential repercussions from ongoing legal cases could lead to a reshuffle in the government, prompting coalition partners to renegotiate their terms of cooperation, further complicating the already fragile political landscape.
