On Wednesday, Maybank Securities (Thailand) expects the Thai stock market to trade with volatility due to U.S. tariff policies, affecting Mexico, Canada, and China, in which the latter two have announced their retaliatory measures, while Mexico is set to announce its own measures within this week.
However, there is an anticipation for tariff easing after the U.S. Department of Commerce revealed that it will release a tax mitigation guideline for Canada and Mexico in the near future, which may lead to a short-term rebound in the market.
Meanwhile, China’s National People’s Congress meeting is expected to come out with further details on economic goals and stimulus measures for the world’s second-largest economy, contributing to a positive sentiment on the market.
The analyst stated that, currently, domestic factors might seem a bit subdued, but the valuation is not expensive. The market’s P/E ratio has dropped below the long-term average. If the index retreats further, it could present an accumulation opportunity for long-term investors.
