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7 Jul 2025

Financial Markets

The Baht hit a 9-month high in line with the SET which rose almost throughout the week

คะแนนเฉลี่ย

•    The Thai stock market rose almost throughout the week but pared gains somewhat at the end of the week, as investors closely monitored developments regarding US tariff policy.
        The SET rose early in the week, supported by expectations of potential interest rate cuts by the Fed, and purchases of stocks of major telecommunication companies (after the latest spectrum auction) and a major electronic component manufacturer following the trend of US tech stocks. The SET surged further after Thailand’s Constitutional Court temporarily suspended Prime Minister from office, easing concerns about the escalation of violence by the protesters. Optimism surrounding trade negotiations between Thailand and the US provided additional support to the SET, following reports of the Thai negotiation team’s scheduled visit to the US.
        However, the SET pared gains somewhat at the end of the week due to risk-off sentiment among investors awaiting the outcome of US reciprocal tariff measures, with the grace period set to end on July 9. Investors were particularly focused on the results of the Thailand-US trade talks. Additionally, foreign investors remained in net-selling position.
 
•    On Friday, July 4, 2025, the SET closed at 1,119.94 points, up 3.47% over-week. The average daily trading value was THB37,322.61 million, down 18.41% over-week. The mai closed at 234.54 points, up 3.02% over-week. 
•    July 7-11, 2025, KSecurities expects the SET to have support at 1,110 and 1,100 points, but resistance at 1,145 and 1,160 points, respectively. KResearch advises investors to watch key factors, including Thailand’s June CPI, issues related to US reciprocal tariffs after the 90-day pause set to end on July 9, domestic political issues and foreign fund flows. The US economic data that warrant close monitoring include June Consumer Inflation Expectations, FOMC minutes (June 17-18), plus Weekly Jobless Claims. Close attention must also be paid to Eurozone’s May Retail Sales, Japan’s June PPI and China’s June CPI and PPI.

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Financial Markets