SET slumps over worries of weakening US economy and effectiveness of Remdesivir drug
The Stock Exchange of Thailand (SET) Index closed at 1,258.78 today (April 24), dropping by 13.75 points or 1.08 percent.
Transactions amounted to a total of Bt68.704 billion with an index high of 1,280.02 and a low of 1,255.73.
A stock analyst at Krungsri Securities expects the index to fluctuate between 1,260 and 1,280.
“The market has gained support from the rising price of crude oil due to tensions in the Persian Gulf and the US House of Representatives approving US$484 billion for Covid-19 relief measures to help small enterprises and hospitals,” the analyst said.
“In addition, investors expect the Thai government to ease lockdown measures after the number of Covid-19 patients has dropped continuously, while Prime Minister Prayut Chan-o-cha is set to review the state of emergency on Tuesday [April 28]."
However, the analyst said the index is under pressure from the weakening US economy, now that the number of applicants for unemployment welfare his risen to 4.4 million, the sales of new homes in March has dropped by 15.4 percent, and the Purchasing Managers Index in the manufacturing and services sector has dropped to a historic low of 27.4 in the month of April.
“Also, the World Health Organisation has reportedly said that the drug Remdesivir is not effective against the Covid-19 virus,” the analyst said.
The top 10 stocks with the highest trade values today were BAM, PTT, PTTEP, GULF, GPSC, MINT, AOT, TISCO, ADVANC and PTTGC.
As of 5pm, crude oil price dropped by $0.22 or 1.33 per cent to $16.28 per barrel, while gold rose by $7.00 or 0.40 percent to $1,752.40 per ounce.
Meanwhile, most stocks recorded a slide:
Japan’s Nikkei Index closed at 19,262.00, down 167.44 points, or 0.86 percent.
China’s Shanghai SE Composite Index closed at 2,808.53, down 29.97 points, or 1.06 percent, while Shenzhen SE Component Index closed at 10,423.46, down 140.58 points, or 1.33 percent.
Hong Kong’s Hang Seng Index closed at 23,831.33, down 145.99 points, or 0.61 percent.
South Korea’s KOSPI Index closed at 1,889.01, down 25.72 points, or 1.34 percent.
Taiwan’s TAIEX Index closed at 10,347.36, down 19.15 points, or 0.18 percent.
