Markets marginally up in Asia, trading slow on Thailand exchange
China’s PMI rebound is likely to have a limited positive effect on Thai and Asian stocks, says Tisco Market Insight.
Market unease shouldn’t scare off investors, says wealth manager
Major Asian markets rallied today after China reported its MPI on Sunday; Japan’s Nikkei 225 was up almost 1 per cent to 23,523.16 at 2.10pm Japan time and Hong Kong’s Hang Seng, South Korea’s Kospi and China’s Shanghai composite index also rose. China’s purchasing managers index(PMI) for the manufacturing sector bounced back to 50.2 in November from October's 49.3, according to the National Bureau of Statistics. The growth beat many analysts’ expectation for a below-50 reading.
A reading above 50 indicates expansion, while a reading below reflects contraction.
It is the first expansion in the past eight months, but it is ony likely to boost stock markets in the short-term, said Tisco Market Insight of Tisco Financial Group.
Investors are still concerned about the impactz of the Sino-US trade war as negotiations drag on.
Tisco predicted downside risks for the Stock Exchange of Thailand Index today. It expects the index would move down to 1,585 or 1580 while the barrier level is estimated to be 1,600. The index was down 1 per cent in the morning session to 1,573.46.
Tisco suggested investors not to enter the market for short-term speculation but instead wait and see until the SET index moves up above the 1,600 level.
Investors are advised to take selective buys, choosing fundamental and high-dividend paid stocks. Interesting stocks includes PTG, PTT, BBL, KBank, SCB, AMATA, SCC, ROJNA, WHA, EASTW, BGRIM and BDMS, according to Tisco Market Insight.
