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6 May 2025

Financial Markets

The Baht hit a 7-month high while the SET closed higher for the fourth consecutive week

คะแนนเฉลี่ย

  • The Thai stock market rose on the back of the MPC meeting result, while investors were less concerned somewhat about the trade war issues.
        The SET moved within a narrow range early in the week before surging during the remainder of the week despite the negative factor of Moody’s downgrading Thailand’s economic outlook to “negative”. The SET was boosted by purchases of large-cap stocks especially those of a major electronics producer due to its better-than-expected 1Q-2025 performance results, the MPC’s interest rate cut, and the fact that investors were less concerned somewhat about US-China trade war due to the reports of US softening stance on China and China’s assessing proposals for trade talks with US.
 
        In addition, the SET was boosted by the launch of Thai ESGX fund, a new fund aimed to revitalize Thailand’s stock market. However, the gains were capped at the end of the week, with energy stocks and banking stocks facing profit taking (as Moody’s downgraded the outlook of seven Thai financial institutions to “negative” from “stable”). This week, financial stocks underperformed other sectors, facing sell-offs after having responded to the interest rate but earlier.

  • On Friday, May 2, 2025, the SET closed at 1,198.98 points, up 3.45% over-week. The average daily trading value was THB40,980.63 million, up 13.69% over-week. The mai closed at 253.47 points, down 1.73% over-week.
  • May 5-9, 2025, KSecurities expects the SET to have support at 1,170 and 1,150 points, but resistance at 1,215 and 1,225 points, respectively. KResearch advises investors to watch key factors, including the FOMC meeting (May 6-7), Thailand’s April Inflation data, 1Q-2025 performance results of Thailand’s listed companies, trade conflicts between US and its trading partners, and foreign fund flows. The US economic data that warrant close monitoring include April Services ISM/PMI, March Exports and Imports, plus Weekly Jobless Claims. Close attention must also be paid to BOE  meeting, April Services PMI of China, Eurozone, UK and Japan, plus China’s April economic data.  

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Financial Markets