On Tuesday, Maybank Securities (Thailand) expects the Thai stock market to stabilize along with the global market due to concerns over potential decline in U.S. economy from the government tariff policy and cost cutting measures, causing investors to enter a risk-off stance which may affect the region’s market.
Meanwhile, after yesterday’s stimulus measure meeting, the third phase of cash handout is anticipated to amount around THB 27 billion, the lowest in all three handouts, which could limit the upside to Thai’s economy and earnings of listed companies.
However, the Thai market still lacks sustainable supporting factors. The future driving force could come from the government policy of seeking new s-curve, the investors confidence policy of transferring funds from LTF to ThaiESG 2, which could reduce selloff pressure, and Thailand Individual Saving Account (TISA) policy.
If these measures do bring new capital into the market, liquidity may improve. Other measures however, still need to be clarified before it could aid the Thai market recovery.
