Asian markets mostly rose on Friday following a easing of the recent Chinese stock sell-off, amid reports that Chinese financial regulators might step in to curb further declines. A rally on Wall Street also boosted overall investor sentiment.
In Thailand, the market received an additional lift as Anutin Charnvirakul, leader of the Bhumjaithai Party, was elected as the nation’s 32nd prime minister. Investors are now focusing on the upcoming early election he has agreed to call next year.
The SET index ranged between 1,230.55 and 1,270.74 points this week, closing Friday at 1,264.80, a 2.3% increase from the previous week. Daily trading averaged 45.78 billion baht, with institutional investors net buying 3.4 billion baht. Brokerage firms sold a net 2.15 billion baht, retail investors sold 927.51 million baht, and foreign investors offloaded 316.86 million baht.
Meanwhile, in the U.S., the Trump administration urged the Supreme Court to expedite a review of a federal appeals court ruling that declared many of its new tariffs illegal, warning of serious economic and diplomatic consequences if the ruling remains. The court has allowed existing tariffs to stay until October 14.
President Trump also announced plans to impose “fairly substantial” tariffs on semiconductor imports from companies that do not shift production to the U.S., though specifics on rates or timing are yet to be disclosed.
Additionally, concerns about Federal Reserve independence took center stage during a Senate hearing on Thursday, where Trump’s economic adviser Stephen Miran testified regarding his nomination to the Fed’s seven-member governing board.
Credit: Bangkok Post
Federal Reserve Governor Christopher Waller indicated that the central bank should start lowering interest rates this month, with multiple cuts expected in the coming months.
Gold prices extended their gains to seven consecutive days, reaching a new all-time high of $3,556 per ounce on Wednesday, buoyed by expectations of US interest-rate cuts. Goldman Sachs has suggested that if Fed independence were compromised and investors shifted even a small portion of holdings from Treasuries into gold, prices could soar close to $5,000.
Meanwhile, President Trump stated that India has submitted a proposal to reduce its import tariffs on US goods to zero, following the US’s 50% tariffs in retaliation for Indian imports of Russian oil. This change would impact over 55% of Indian exports to the US, mainly textiles and gems, though electronics and pharmaceuticals would be excluded.
US job openings in July fell more than forecast to a 10-month low of 7.18 million. Additionally, initial jobless claims rose by 8,000 to 237,000, surpassing the expected increase of 2,000.
Japanese bonds joined a global sell-off in debt markets, with a surge in corporate debt sales and concerns over developed-world fiscal stability pushing down European and US fixed-income securities. The yields on 20-year Japanese government bonds climbed to levels last seen in 1999.
Credit: Bangkok Post
US factory activity contracted in August for the sixth consecutive month, with the Institute for Supply Management’s manufacturing index at 48.7, indicating continued weakness amid rising import duties.
Toyota announced plans to produce its first fully electric vehicle in Europe at its Czech Republic plant, along with a new battery assembly facility at the site.
China’s financial regulators are contemplating measures to curb speculation in the stock market, aiming to prevent a repeat of the 2015 bubble burst after major indices surged over 20%.
US consumer spending in July grew by 0.3% from the previous month, the strongest pace in four months, driven mainly by purchases of durable goods such as automobiles, furniture, and sports equipment.
India has more than halved taxes on domestically sold renewable energy equipment, including solar panels, to boost local consumption and protect the economy from U.S. tariffs.
Swiss inflation remained positive for the third month in a row, increasing by 0.2% in August compared to the previous year, matching July’s rise.
Three Japanese petrochemical companies—Asahi Kasei, Mitsui Chemicals, and Mitsubishi Chemical—are preparing to cut ethylene cracking plant capacities by 2030 to improve efficiency and support their carbon neutrality goals.
Global copper prices climbed to $9,980 per tonne after China’s government indicated efforts to control supply, prompting many provinces to switch to pure copper and reducing recycled copper production.
Credit: Bangkok Post
Bank Negara Malaysia kept its overnight policy rate steady at 2.75% on Thursday, as anticipated, continuing to monitor the impact of July’s rate cut and the risks to economic growth from US tariffs.
The Swedish government plans to temporarily cut value-added tax on food to 6% in an election-year budget, aiming to support households and the broader economy.
US stock markets surged Wednesday, driven by strong gains in Alphabet (9.1%) and Apple (3.8%), after a court ruling in an antitrust case determined Google wouldn’t have to sell its Chrome browser business and could maintain its agreement with Apple.
Barclays’ top dealmaker predicts that the escalating AI arms race could lead to a merger or acquisition deal exceeding $100 billion within the next year.
Huawei introduced the Mate XTs, its second foldable smartphone priced at $2,500—more affordable than its predecessor—just days before Apple’s expected reveal of its new iPhone 17 series.
ExxonMobil is contemplating selling or shutting down chemical plants in the UK and Belgium, with combined capacity of around 1.5 million tonnes annually, accounting for roughly 0.6% of global ethylene output, according to the Financial Times.
BlackRock lost a €14.5 billion ($17 billion) mandate from one of the Netherlands’ largest pension funds, amid concerns that the asset manager is not prioritizing clients’ interests regarding climate risk.
Malaysia has called on TikTok to implement age verification measures to help reduce harmful content on the platform.
Vietnamese electric vehicle maker VinFast reported a net loss of $812 million for the second quarter, 15% higher than the previous quarter, despite a 1.9% increase in revenue to $663 million year-on-year. The wider loss is attributed to its global expansion and marketing efforts aimed at driving demand.
Thailand’s headline inflation contracted by 0.8% in August—the lowest since January 2024 and the fifth consecutive month of decline—mainly due to falling prices for fruit and vegetables. Meanwhile, core inflation rose by 0.8% year-on-year.
The National Broadcasting and Telecommunications Commission plans to auction 45 MHz of bandwidth on the 2100MHz band and part of the 3500MHz band in Q3 2027.
The Joint Standing Committee on Commerce, Industry and Banking (JSCCIB) estimates Thailand’s GDP will grow between 1.8% and 2.2% in 2025, with only 1% growth expected in the second half, amid political uncertainties that could impact government spending.
Thailand’s hotel industry is experiencing its first month of rate pressure after four years of steady price increases, with tourist numbers from China and other major Asian markets falling significantly, according to Tris Rating.
Foreign tourist arrivals by August’s end declined 7.2% year-on-year, totaling 21.9 million, with China (3.1 million) remaining the largest source market but down about a third from the previous year.
Thailand’s ongoing political instability has kept its bonds relatively resilient amid a global debt sell-off, as expectations of further interest rate cuts to support the economy boost local debt demand. The 10-year government bond yield dropped to 1.24% on Wednesday, its lowest since December 2020.
UPCOMING EVENTS: On Monday, China and Germany will release trade data. Tuesday features a euro zone finance ministers meeting and China’s August inflation report. Wednesday sees US producer prices data. Thursday includes the European Central Bank’s rate decision, alongside US inflation and jobless claims reports. On Friday, the US will publish preliminary Q2 GDP figures, Germany will announce inflation, and China will report new loans.
In Thailand, the Supreme Court is scheduled to rule on Tuesday regarding former Prime Minister Thaksin Shinawatra’s 6-month stay at Police General Hospital.
STOCKS TO WATCH: Asia Plus Securities expects the Fed to cut US interest rates at its September 16-17 meeting. Thai stocks likely to benefit early include those supported by lower borrowing costs, such as MTC, TIDLOR, SAWAD, KTC, and AP.
Positive electoral developments may boost short-term speculative stocks, with potential beneficiaries including STECON, STPI, PTG, GUNKUL, and TASCO.
According to InnovestX Securities, improving domestic political clarity following the prime ministerial vote could bolster investor sentiment, while weak US labor data has raised expectations of a 25-basis-point rate cut this month. However, ongoing tariff uncertainties following a recent US court ruling remain a risk. Top picks suggested by the brokerage are WHA, CP ALL, and PRM.
TECHNICAL VIEWS: ASL Securities identifies support at 1,250 points and resistance at 1,280. InnovestX Securities notes support at 1,225 and resistance at 1,295.