SET Index rises over positive Covid-19 vaccine news, crude oil price
The Stock Exchange of Thailand (SET) Index rose by 10.72 points, or 0.79 per cent, to 1,369.01 in the morning session today (July 21).
A stock analyst at Krungsri Securities expected the index to rise to 1,370 points before falling in response to good news on a Covid-19 vaccine and the rising crude oil price.
“AstraZeneca and Oxford University have revealed that their first phase of a clinical trial of the ChAdOx1 nCoV-19 vaccine can boost immunity in humans,” the analyst said.
However, he said the index would be under pressure from weak second-quarter performances by banks and increasing non-performing loans.
“Uncertainty following the increase in the number of Covid-19 cases would also pressure the index,” he added.
He recommended that investors buy:
> Food and Electronic stocks that benefit from the weakening baht, such as TU, CPF, GFPT, TFG, Asian, KCE, Delta, Hana and SVI.
> Stocks whose second-quarter performance will improve, such as Top, PTTGC, SPRC, SCC, BGrim, CKP, CPF, TU, Tasco, STA, STGT, SPALI, PRM, PTL, AJ, Stark, CBG and TQM.
> Energy stocks that benefit from the rising crude oil price, such as PTT, PTTEP, Top, PTTGC, IRPC, SPRC and IVL.
The SET Index closed at 1,358.29 yesterday, down 1.29 points, or 0.09 per cent. The volume of transactions was Bt52.303 billion, with an index high of 1,365.71 and a low of 1,352.03.
