FX.co ★ Thai Shares May Extend Wednesday's Gains

The Thai stock market experienced a rebound on Wednesday, breaking a two-day decline during which it dropped over 15 points or 1.1 percent. The Stock Exchange of Thailand (SET) now hovers just above the 1,315-point threshold, with projections indicating a likely uptick on Thursday.

Global market sentiment is mostly positive following the Federal Open Market Committee's (FOMC) recent rate decision. With European markets closing higher and U.S. markets presenting a mixed performance, Asian markets are anticipated to reflect a moderate gain.

The SET concluded Wednesday's session with marginal gains. Strength in the food, resource, and technology sectors was largely countered by weaknesses in finance, industrial, and service sectors.

For the day, the SET index increased by 0.59 points, or 0.04 percent, to close at 1,316.69, having fluctuated between 1,311.04 and 1,320.51. The trading volume was 13.524 billion shares amounting to 46.555 billion baht. There were 315 declining stocks, 171 advancing stocks, and 171 stocks remained unchanged.

Among the key performers, Advanced Info decreased by 0.47 percent, Thailand Airport fell by 1.24 percent, Asset World dropped 1.13 percent, and Banpu surged 3.48 percent. Bangkok Bank saw a rise of 0.37 percent, Bangkok Expressway soared 2.53 percent, and B. Grimm declined by 2.11 percent. BTS Group lost 2.49 percent, CP All Public dropped 0.44 percent, Energy Absolute fell by 4.74 percent, Gulf edged lower by 0.62 percent, Kasikornbank gained 0.40 percent, and Krung Thai Bank slipped by 0.57 percent. Krung Thai Card plummeted 3.37 percent, PTT Oil & Retail shed 1.19 percent, PTT Exploration and Production climbed 2.67 percent, and PTT Global Chemical lost 1.54 percent. SCG Packaging improved by 0.75 percent, Siam Commercial Bank rose by 0.97 percent, Siam Concrete declined by 1.29 percent, and Thai Oil advanced by 1.51 percent. True Corporation rallied 2.42 percent, TTB Bank retreated by 1.20 percent, while Charoen Pokphand Foods, PTT, and Bangkok Dusit Medical remained unchanged.

Wall Street's lead is cautiously optimistic, with major indices opening higher on Wednesday, though the Dow Jones Industrial Average later reversed course and ended lower.

The Dow fell by 35.21 points or 0.09 percent to finish at 38,712.21. Conversely, the NASDAQ saw a substantial gain of 264.89 points or 1.53 percent to close at 17,608.44, and the S&P 500 added 45.71 points or 0.85 percent to end at 5,421.03.

The initial rally on Wall Street was spurred by a Labor Department report showing that U.S. consumer prices remained stable in May, reviving optimism about the interest rate outlook.

However, later in the day, the Federal Reserve's policy announcement indicated that officials expect only one interest rate cut this year.

The Fed acknowledged moderate progress towards its inflation targets in recent months but emphasized the need for greater confidence in the sustainability of these trends before considering rate reductions.

Oil prices climbed higher on Wednesday, driven by expectations of increased demand and tighter supply conditions, coupled with a weaker dollar. West Texas Intermediate Crude oil futures for July rose $0.60 to settle at $78.50 a barrel.