FX.co ★ Winning Streak May End For Thai Stock Market

The Thai stock market has seen gains for four consecutive sessions, rising over 30 points or 2.1 percent. As a result, the Stock Exchange of Thailand (SET) currently stands just above the 1,320-point mark. However, a round of profit-taking is anticipated on Friday.

The outlook for Asian markets is somewhat bleak due to growing fears of an economic slowdown. Following the sharp declines in European and U.S. markets, Asian bourses are expected to follow a similar downward trend.

On Thursday, the SET finished slightly higher, with gains in industrial, resource, and technology stocks mitigating the losses in the food, consumer, and service sectors. The index increased by 1.89 points or 0.14 percent to close at 1,322.75, trading within a range of 1,319.29 to 1,329.76. Trading volume reached 8.637 billion shares, valued at 36.899 billion baht. The market saw 238 decliners and 233 gainers, with 175 stocks remaining unchanged.

Notable movements included Advanced Info and CP All Public, which both fell by 0.43 percent. Asset World dropped significantly by 2.20 percent, while Banpu rose by 0.81 percent. Bangkok Bank saw a minor dip of 0.36 percent, and Bangkok Dusit Medical declined by 0.95 percent. Bangkok Expressway decreased by 0.64 percent, whereas B. Grimm experienced a robust surge of 5.56 percent. BTS Group slipped by 0.93 percent, and Charoen Pokphand Foods plunged by 3.75 percent. Energy Absolute saw an impressive jump of 6.11 percent. Kasikornbank increased by 1.14 percent, while Krung Thai Bank fell by 1.66 percent. PTT dropped by 0.78 percent, yet PTT Exploration and Production rallied by 2.72 percent. PTT Global Chemical advanced by 0.92 percent, SCG Packaging soared by 2.65 percent, Siam Commercial Bank declined by 0.49 percent, Siam Concrete lost 0.45 percent, and Thai Oil climbed by 1.98 percent. True Corporation slid by 1.08 percent. TTB Bank, Krung Thai Card, Gulf, PTT Oil & Retail, and Thailand Airport remained unchanged.

The lead from Wall Street is predominantly negative. Major averages opened slightly higher on Thursday but quickly reversed course to close significantly lower. The Dow Jones Industrial Average plummeted 494.82 points or 1.21 percent to end at 40,347.97. The NASDAQ slumped 405.26 points or 2.30 percent to close at 17,194.14, and the S&P 500 sank 75.62 points or 1.37 percent to finish at 5,446.68.

The sell-off on Wall Street was driven by disappointing economic data, raising concerns about the outlook for the U.S. economy. This overshadowed any optimism about a potential near-term interest rate cut by the Federal Reserve. Reports from the Institute for Supply Management indicated that U.S. manufacturing activity unexpectedly contracted at a faster rate in July. Additionally, the Labor Department revealed that first-time claims for U.S. unemployment benefits increased to their highest level in nearly a year.

Oil futures settled lower on Thursday due to concerns about the disappointing economic data and the future demand for oil. West Texas Intermediate Crude oil futures for September fell by $1.60 or about 2.05 percent, closing at $76.31 per barrel.