Continued horizontal movement characterizes Thai share prices, with the SET index facing resistance at the 1,380 level and eyeing the 1,400 mark over the previous week. Market performance remained rangebound, influenced by varying results across different stocks.
Earnings reports from companies in the tourism, agri-food, property, and automotive sectors drove market movements. Some sectors like tourism and meat-focused agri-food companies posted strong results, while others faced challenges like slowing property demand and reduced automotive production.
Upcoming company analyst meetings are anticipated to shed light on management strategies post-earnings, potentially signaling turning points in the market. Notable positive surprises included earlier-than-expected profitability from TRUE, CPF, signs of business recovery from CRC in Vietnam, and optimistic forecasts for the upcoming low tourism season.
Encouraging factors such as growth in first-quarter earnings, improvements in farm income, and expected government budget acceleration could positively influence market sentiment. Additionally, changes in short-selling rules in June may impact stock market dynamics.
Expectations of valuation adjustments and forecast revisions during upcoming analyst meetings hint at potential market shifts. Insights from the US economic indicators, like inflation and retail sales, might influence investor perceptions and Federal Reserve actions.
Market outlooks suggest considerations of investment shifts based on foreign fund movements and recent market highs. BlackRock’s caution regarding the Japanese market and trends in gold prices may redirect investor interest towards Thai, Chinese, or Hong Kong assets.
Domestically, discussions on Thai ESG and SSF criteria by the Federation of Thai Capital Market Organizations (Fetco) as well as potential incentives for savings programs indicate local market developments. However, uncertainties surrounding the government’s minimum wage plans pose challenges to businesses and could affect purchasing power.
In conclusion, a mix of factors, including company earnings, economic indicators, and global market trends, is directing market sentiments. The market awaits clarity on various fronts to navigate potential shifts in investment strategies and market performance.
