Thailand’s SET Index closed at 1,421.58 points, increased 6.17 points and 0.44% with a trading value of 47.4 billion baht. The analyst stated that the Thai stock market bounced back from yesterday with high trading volume going into big-cap stocks as the market is now confident in the Fed cutting interest rates by 25bps. The sentiment was positive to Asian markets, attracting inflows.
Paetongtarn Shinawatra made her debut in the parliament, laying out her policies to the parliament highlighted by the plan for a THB 450 billion handout to kick off the second-largest economy in the region.
Her policies generally conserve agendas set forth by Srettha Thavisin, former Prime Minister ousted by the court’s decision, and the Pheu Thai Party, encompassing debt restructures and legalisation of casinos. Faced with challenges, structural economic problems among others, Paetongtarn remarked the government would take immediate actions.
Morgan Stanley’s latest research indicates that the Consumer Price Index (CPI) for August has presented a minor upside surprise, particularly driven by strength in services. Despite this, the firm is sticking to its prediction of a 25 basis points rate cut in the following week, as the potential for larger cuts this year due to lower-than-expected inflation seems unlikely now.
The global economy is expected to slow in the latter half of this year following robust growth in the first half. Overall, global growth for 2024 is projected at 2.7%, with a slight uptick to 2.8% in 2025, indicating a soft landing. However, concerns over a potential hard landing, particularly in the U.S., are resurfacing due to rapidly rising unemployment rate, triggering recession warning indicators. Nevertheless, SCB EIC assesses that a soft landing remains more likely due to the strong momentum from major economies during the first half of the year and leading indicators suggesting continued growth in the near future. Additionally, the rapid rise in unemployment in the U.S. is partly due to a growing labor supply and not just solely a decline in hiring demand.
Bajaj Housing Finance, a wholly-owned subsidiary of Bajaj Finance, dealing predominantly in property loans, as well being the largest shadow lender in India, has its IPO oversubscribed by over 60 times.
With the goal of attaining $781 million (approximately INR 65.6 billion) in the course of India’s largest public offering in 2024, Bajaj Housing Finance has drawn more than 1% of India’s GDP for FY24 or roughly around $39 billion in bids on Wednesday.
