Rebound Anticipated For Thai Stock Market

The Thai stock market on Wednesday wrote a finish to the three-day winning streak in which it had advanced more than 30 points or 1.9 percent. The Stock Exchange of Thailand now sits just beneath the 1,690-point plateau although it’s expected bounce higher again on Thursday.

The global forecast for the Asian markets is positive, with surging crude oil prices and strength among financials expected to boost the oversold markets. The European and U.S. markets were up sharply and the Asian markets are expected to open in similar fashion.

The SET finished slightly lower on Wednesday as losses from the financials were mitigated by support from the oil companies.

For the day, the index slipped 4.47 points or 0.26 percent to finish at 1,689.81 after trading between 1,684.53 and 1,699.58. Volume was 27.831 billion shares worth 107.131 billion baht. There were 1,362 decliners and 555 gainers, with 436 stocks finishing unchanged.

Among the actives, Advanced Info shed 0.42 percent, while Thailand Airport and Charoen Pokphand Foods both lost 0.40 percent, Asset World tumbled 1.96 percent, Banpu skyrocketed 7.08 percent, Bangkok Bank surrendered 1.82 percent, Bangkok Dusit Medical advanced 0.84 percent, Bangkok Expressway added 0.56 percent, B. Grimm sank 0.72 percent, Energy Absolute dipped 0.26 percent, Gulf declined 1.47 percent, Kasikornbank retreated 1.53 percent, Krung Thai Card fell 0.39 percent, PTT Oil & Retail tanked 1.90 percent, PTT jumped 1.92 percent, PTT Exploration and Production surged 8.73 percent, SCG Packaging plummeted 5.67 percent, Siam Commercial Bank skidded 1.19 percent, Siam Concrete dropped 1.03 percent, True Corporation slumped 0.96 percent, TTB Bank was down 0.73 percent and BTS Group, CP All Public, IRPC, Krung Thai Bank and PTT Global Chemical were unchanged.

The lead from Wall Street is upbeat as the major averages opened higher on Wednesday and accelerated as the session progressed, ending near daily highs.

The Dow surged 596.40 points or 1.79 percent to finish at 33,891.35, while the NASDAQ soared 219.56 points or 1.62 percent to end at 13,752.02 and the S&P 500 jumped 80.28 points or 1.86 percent to close at 4,386.54.

The rally on Wall Street came on surging crude oil prices and a rebound by treasury yields.

Also, Federal Reserve Chair Jerome Powell told the House Financial Services Committee the Fed still believes it will be appropriate to raise interest rates later this month, citing inflation well above 2 percent and a strong labor market. The likely increase in interest rates comes even though Powell acknowledged that the Russia-Ukraine conflict has introduced significant uncertainty for the U.S. economic outlook.

On the U.S. economic front, payroll processor ADP said U.S. private sector employment jumped much more than expected in February.

Crude oil prices climbed higher on Wednesday, extending gains amid concerns about global crude supplies due to the ongoing Russia-Ukraine conflict and data showing a drop in U.S. crude inventories. West Texas Intermediate Crude oil futures for April ended higher by $7.19 or 7 percent at $110.60, the highest settlement since May 2011.