FX.co ★ Thai Stock Market May Reverse Monday's Losses

The Thai stock market has been fluctuating between gains and losses over the past four trading days, following the end of a two-day downturn that saw a decline of nearly 15 points, or 1 percent. As it stands, the Stock Exchange of Thailand rests just below the 1,320-point threshold and is anticipated to rebound on Tuesday.

The global outlook for Asian markets is relatively steady with a slight upward bias ahead of the Federal Open Market Committee (FOMC) statement expected on Wednesday. While European markets declined, U.S. markets experienced gains, suggesting that Asian markets may see a modest increase.

On Monday, the SET experienced a sharp decline due to losses across various sectors, including food, consumption, finance, industrial, property, resources, and services.

Specifically, the index dropped 14.17 points, or 1.06 percent, closing at 1,318.57. During the trading session, it fluctuated between 1,313.26 and 1,329.81. With a trading volume of 8.002 billion shares valued at 38.377 billion baht, there were 448 decliners, 98 gainers, and 115 stocks that remained unchanged.

Among the notable movers: Advanced Info Service fell 0.95 percent, Thailand Airport decreased 1.62 percent, Asset World dropped 2.21 percent, and Banpu tumbled 6.02 percent. Conversely, Bangkok Bank saw a gain of 1.50 percent, while Bangkok Expressway rose 1.95 percent. However, Bangkok Dusit Medical declined by 1.83 percent, and B. Grimm shed 2.07 percent. Noteworthy declines were also observed in BTS Group at 3.27 percent, CP All Public at 0.86 percent, Charoen Pokphand Foods at 1.32 percent, and Energy Absolute at 6.98 percent. Other significant movements included Gulf (-0.62%), Kasikornbank (-0.78%), Krung Thai Card (-1.10%), PTT Oil & Retail (-1.74%), PTT Exploration and Production (-0.33%), PTT Global Chemical (-1.53%), SCG Packaging (-0.74%), Siam Commercial Bank (-0.48%), and Siam Concrete (-1.28%). Meanwhile, Thai Oil fell 2.90 percent, True Corporation dropped 1.18 percent, and TTB Bank, Krung Thai Bank, and PTT remained unchanged.

In the U.S., Wall Street showed a slight upward trend. The major indices initially opened lower on Monday but gradually climbed into positive territory. The Dow Jones Industrial Average grew by 69.05 points, or 0.18 percent, concluding at 38,868.04. The NASDAQ gained 51.90 points, or 0.35 percent, ending at 17,192.53, while the S&P 500 increased by 13.80 points, or 0.26 percent, to close at 5,360.79.

Traders exhibited caution ahead of several significant events scheduled for later in the week, including the Federal Reserve's monetary policy meeting. The Fed is expected to announce its latest decision on Wednesday, with expectations leaning towards maintaining the current interest rates. Since this decision is largely anticipated, more focus will be on the Fed’s projections for the economy and interest rates.

Ahead of the Fed's announcement, the Labor Department will release its report on consumer price inflation for May.

Crude oil prices surged on Monday, driven by optimism regarding energy demand. West Texas Intermediate crude oil futures for July rose by $2.21, or approximately 2.9 percent, to settle at $77.74 per barrel.