US tapering impact already discounted: Charamporn
Play
The US tapering impact on the Thai stock market has been discounted, said Stock Exchange of Thailand President Charamporn Jotikasthira.
As such, should the US Federal Reserve decide to scale back the bond purchase programme, the Thai market could withstand the negative impact, he said.
To him, the factor that could hurt the sentiment involves the debate on the Bt2 trillion borrowing bill. If the bill becomes law, this would benefit the economy in the long term.
"The market sentiment is not worrisome for now, thanks to continued strengthening in listed companies' fundamentals," he said.
The SET index today lost 1.33 points or 0.09 per cent lower, to end the day at 1,443.78 points. Turnover was tuned at Bt45.76 billion.
The daily average trading value in August declined 13 per cent from the previous month to US$1.29 billion, mainly on concerns that the US Federal Reserve would start to wind down its stimulus programme and by China's slowing economic outlook. Thailand's 2013 economic growth was expected to be lower than previously forecast, also weighing down market sentiment. Foreign investors accounted for total net sales of $3.77 billion in the first eight months.
Due to sell-offs in the past few months, the market capitalisation at the end of August was at Bt11.29 trillion, down 4.6 per cent from the end of 2012.
