By The Nation
According to analysts at Globelex Securities Co Ltd, the SET had risen in line with other stock markets in the region, which responded to the Dow Jones Index closing positively on Friday (September 6) after unemployment in the non-agricultural sector in the US was reported to be lower than expected. This announcement also hinted at the likelihood of the US Federal Reserve reducing interest rates this month.
Analysts also believe that China’s plan to release more capital into financial institutions to ensure ample funding contributed to positive impacts in the region.
The Chinese market expects the People’s Bank of China to cut the reserve requirement ratio (RRR) by 1 per cent before year end to inject 1.5 trillion yuan (Bt6.45 trillion) into banks to stimulate the economy.
Analysts also believe that China needs urgent economic stimulus, especially since the trade war with the US has forced its exports in August fell 1 per cent year on year, biggest fall since June, when China's exports fell 1.3 per cent.
Other Asian stock markets went up as well, with Nikkei closing at 21,318.42 (+11.85 or 0.56 per cent), KOSPI at 2,019.55 (+10.42 or 0.52 per cent) and Shanghai at 3,024.74 (+25.14 or 0.84% per cent). Hang Seng was the only stock market to go down in the region by 9.36 or 0.04 per cent, closing at 26,681.40.