Regional market rebound bolsters SET, investors warned to watch for mass sell-offs
The Stock Exchange of Thailand (SET) Index should rise to a resistance level of 1,655 to 1,650 points on Tuesday since most regional stock markets have rebounded after a sharp fall, Krungsri Securities said.
It added that the index also gained from rising oil prices and mass buy-ups of company shares that are expected to grow based on their business turnover last year.
"Investors, however, should beware of mass share sell-offs owing to uncertainty over the US Federal Reserve’s signal that it will raise the interest rate to tackle inflation,” Krungsri Securities said.
It recommends the purchase of the following as an investment strategy:
• BBL, KBANK, KTB and BLA will benefit from news of the US interest rate hike.
• PTTEP, TOP, PTTGC, IVL and SPRC will benefit from the rising price of oil and gross refining margin.
• AOT, MINT, CENTEL, ERW and AAV will benefit from the government’s move to relaunch the Test & Go scheme and the fourth phase of the “Rao Tiew Duay Kan” (We Travel Together) travel subsidy.
The SET Index closed at 1,648.81 on Monday, up 9.30 points or 0.57 per cent. Transactions totalled 68.34 billion baht with an index high of 1,655.48 and a low of 1,646.88.
