Fourth-quarter results of 2019 to guide SET Index this week
The Stock Exchange of Thailand Index closed at more than 1,600 points in a month and a half, ending at 1,600.48 points, up 1.26 per cent week on week. The average daily trading value was Bt62,787.11 million, down 0.93 per cent week on week. The Market for Alternative Investment closed at 308.80 points, up 1.66 per cent week on week.
The SET Index rose early in the week, supported by preparations for the signing of the US-China phase one trade deal and the approval of Thailand’s budget bill for the fiscal year 2020 by the House of Representatives.
The SET dropped shortly around midweek due to sell-offs by institutional and foreign investors before surging again after the US and China officially signed the phase one trade deal.
The purchase of large-cap stocks, especially in the banking sector, before the release of fourth-quarter 2019 earnings results supported the market, as well.
This week, KSecurities expects the SET to have support at 1,590 and 1,580 points, but resistance at 1,610 and 1,620 points, respectively. Key matters to watch include fourth-quarter 2019 corporate earnings results (especially the banking sector), the deliberation of Thailand’s budget bill for fiscal 2020 by the Senate, Thailand’s December exports, US-China trade issues, plus Brexit issues.
Key US indicators include December Existing Home Sales and January purchase managers index (PMI) Composite (Flash) indices. Other international factors that warrant close monitoring include outcomes of the Bank of Japan and European Central Bank meetings, Japan’s and the euro-zone’s January (PMI) Composite (Flash) indices, plus Japan’s December consumer price index.
