Thursday, September 23, 2021

business

Thai investor confidence rises for second month in a row


Thailand’s Investor Confidence Index was up 1.5 per cent in January for its second successive monthly rise, the Federation of Thai Capital Market Organisations (Fetco) reported on Wednesday.

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The index rose to 132.55, buoyed by an influx of foreign funds, the rollout of Covid-19 vaccines and the performance of companies listed in the Stock Exchange of Thailand (SET), Fetco chairman Paiboon Nalinthrangkurn said.

Meanwhile, downside factors causing uncertainty among investors were the fresh Covid-19 outbreak, worries over the euro zone’s economy, and Thailand's economic recession.

He added that investors were drawn to shares in the energy, petrochemical and commercial sectors. They showed little interest in tourism and steel shares, as well as property funds and real estate investment trusts.

Paiboon forecast the Thai stock market would hit 1,600 points this year from the influx of foreign funds spurred by Thailand's second-half economic recovery, SET-listed companies' rising profits and the Covid-19 vaccination rollout.

Meanwhile Myanmar's coup would have only a limited impact on the Thai stock market as Thailand's revenue from retail business with Myanmar was low, he added.

"However, we would like to warn investors to use discretion before purchasing high-speculation stocks such as GameStop in the US market, because their price may drop sharply when the speculation is over," he said.

Published : February 03, 2021

By : The Nation