Thailand’s SET Index closed at 1,470.10 points, increased 1.58 points or 0.11% with a trading value of 60.17 billion baht. The analyst stated that the Thai stock market traded sideways in a positive territory. The index witnessed a significant uptick in the initial phase but retreated in the afternoon session due to profit-taking activities. The surge in Vayupak Fund was credited for the rise, countering the sell-off by foreign investors, along with the rebound in oil prices.
Meanwhile, market sentiment is being influenced by the US Federal Reserve’s deliberation on rate cuts despite higher-than-expected inflation data. Investors also awaited more stimulus measures from China this weekend.
The analyst expected the Thai market to trade sideways next week, as investors kept their eyes on the resolution from the Monetary Policy Committee meeting, potentially sending a positive impact on the Thai market should the central bank signals for a rate cut. Traders also monitored the announcement of 3Q24 earnings reports from banks.
The Bank of Korea (BOK) has reduced its benchmark interest rate by 25 basis points to 3.25%, marking the first rate cut by the central bank since the Federal Reserve began tightening monetary policy in March 2022. The rate adjustment aligns with the expectations of economists surveyed by Reuters.
This decision follows South Korea’s inflation rate dropping to 1.6% in September, significantly below the BOK’s 2% target. The BOK highlighted that inflation has been showing signs of stabilization, with a slowdown in household debt growth and reduced risks in the foreign exchange market.
Investors and analysts are anticipating a substantial influx of up to 2 trillion yuan ($283 billion) in fresh fiscal stimulus from China as part of efforts to bolster the economy and foster confidence, with expectations that the finance minister will unveil the funding, primarily through government bonds, in a highly awaited briefing planned for Saturday.
In August, Britain’s economy showed signs of growth after two months of stagnation. This turn of events happened just before the new Labour government’s first annual budget.
The monthly economic output climbed 0.2% in August, which was in line with the prediction from Reuter’s economist poll.
