SET Index expected to rise on Fed rate decision, Russia-Ukriane talks
The Stock Exchange of Thailand (SET) Index is expected to rise to between 1,675 and 1,680 points on Thursday in response to the US Federal Reserve’s move to raise the interest rate by 0.25 per cent, Krungsri Securities said.
The Fed also signalled it would raise the rate six times by 0.25 per cent to a range between 1.75 and 2.00 per cent by the end of this year, Krungsri Securities pointed out.
“In addition, progress in Russia-Ukraine negotiations after Ukraine agreed to discuss the hot-button issue of being a neutral country would help boost the index,” Krungsri Securities added.
It recommends the purchase of the following as an investment strategy:
• KBank, BBL, TTB, and KTB, which will benefit from a rising US bond yield and news of a US interest rate hike.
• SCC, GPSC, BGrim, SCGP and EPG, which would gain from the falling oil price.
• KCE, Hana, SVI, Com7 and Synex, which would benefit from rising technology share prices.
The SET Index closed at 1,667.92 on Wednesday, up 23.56 points or 1.43 per cent. Transactions totalled 78.16 billion baht with an index high of 1,668.95 and a low of 1,653.87.
