SET sees the index improving well, rebounding 3.5%, expecting investors to be relieved of concerns about the Fed raising interest rates - the economy is in recession.
Mr. Sornphon Tulyasathien Deputy Manager, Head of Corporate Strategic Planning Department The Stock Exchange of Thailand revealed that the Thai stock market at the end of July 2566 SET Index closed at 1,556.06 points, an increase of 3.5% from the previous month and a decrease of 6.7% compared to the end of the previous year. In July 2566, the industry groups that performed better than the SET Index compared to the end of 2565 included the technology group and the financial group.
“The Thai stock index is starting to do well. If politics is clear Analysts predict that the Federal Reserve (FED) may raise interest rates one last time at its latest meeting. After the general inflation figure dropped to 3 percent in the previous month. Employment numbers have improved. With unemployment at 3.6 percent, it is considered very low compared to 5.0 percent. Investors are starting to relieve their concerns about the US economic recession.” Mr. Sornphon said.
As for the average daily trading value in SET and mai, it was 46,002 million baht, a decrease of 25.3% from the same period last year. The average daily trading value in the first 7 months of 2566 is 56,873 million baht.
In this regard, foreign investors Net selling for the 6th month. In July 2566, foreign investors sold net 12,558 million baht and had the highest proportion of trading value for the 15th consecutive month.
As for retail investors in the country, although the trading value has decreased from the beginning of the year, the number of active accounts after the COVID-19 Pandemic has increased somewhat compared to the average before the COVID-19 Pandemic.
while Forward P/E of the Thai Stock Exchange at the end of July 2566 It is at the level of 17.0 times. higher than the average of Asian stock exchanges which is 13.3 times and Historical P/E It is at the level of 21.3 times. This is higher than the Asian stock exchange average of 14.6 times. The dividend yield at the end of July 2566 was 3.12%, lower than the Asian stock exchange average of 3.20%.
Mr. Sornphon said that in July 2566, the Asian Development Bank (ADB) reported that the Asia and Pacific region recovered from the COVID-19 outbreak at a continued steady rate. However, the economy in Southeast Asia is likely to expand at 4.6% this year and 4.9% next year.
ADB raised the Thai economic growth forecast to 3.5% from the previous estimate of 3.3% in April 2566. And if considering the Forward PE ratio of SET Index, it is somewhat lower than the historical average. causing individual and institutional investors in the country to make net purchases for 6 consecutive months
Meanwhile, the futures market (TFEX) in July 2566 had an average daily trading volume of 474,850 contracts, a decrease of 22.0% from the previous month, mainly due to the decrease in SET50 Index Futures and Single Stock Futures.
In the first 7 months of 2566, there was an average daily trading volume of 546,687 contracts, a decrease of 1.9% from the same period last year. Importantly from the decrease in Single Stock Futures.
side Mr. Phakorn Peetathawatchai Director and Manager of the Stock Exchange of Thailand said that in the case of preparing to improve conditions Raising funds on the mai and SET stock exchanges to be in line with the current situation. Because now entrepreneurs have the option to raise capital through 3 markets. If they are small businesses starting a business, such as a medium-sized enterprise (SME) or a startup enterprise (Startup), raise capital through LiVe Exchange (stock exchange) Life Exchange) when strong and growing Raise funds through the mai market and as the business expands To be listed on the SET Stock Exchange, jointly developing regulations with the SEC Office. When there is clarity, it will be announced again.
As for the plan to stimulate more trading, it is acknowledged that foreign investors account for the largest proportion of trading in the Thai capital market. Because foreign funds trade Invest quickly Compared to small-scale investments The number of small investors in the country remains the same. But starting to have a smaller proportion Compared to investments by
In this regard, the Stock Exchange must create a new group of investors. Accept that the new account It will be a small investment account. Still unable to compete with the proportion of institutional investors but want to move forward and create diversity To have more investors enter the stock exchange.
In this regard, the overall forecast for the whole year is that risks will decrease if there is clarity. Foreign capital will begin to flow back into Thailand. It is accepted that the performance of some listed companies in the same group has recovered, while some still have problems with income not being as expected. Each person recovers differently. Investors are therefore rooting for the rapid formation of a government so that policies to drive the economy and budget can be clearly defined.
สำหรับIPO fundraising Accept that there are risks depending on the situation. Therefore, the consulting company and listed companies Must evaluate the situation and set prices in accordance with the operating results and the situation. As for the Stock Exchange Ready to give information Investors' profit opportunities for analysis investment decision We accept that the global market is currently volatile. Therefore, you must be careful with your investments.
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