Thai Stocks Down 0.60 Points; MSCI Rebalance Impacts Market; Volatility Expected

MGR Online•Economy•1d ago

Reader Briefing

Thai stock market closed slightly lower due to MSCI rebalancing effects, despite positive regional trends and eased Middle East tensions.

•The Stock Exchange of Thailand (SET) closed down 0.60 points at 1,568.37 points.
•MSCI rebalancing at the end of May 2024 led to an estimated net outflow of -80 million USD from Thailand.
•Positive sentiment was driven by expectations of a US-Iran ceasefire extension and a rally in stocks benefiting from the potential end of conflict, such as electronics (DELTA) and transportation.
•Conversely, oil-related stocks (oil, refiners, petrochemicals) were pressured by falling crude oil prices.
•Volatility is anticipated in the coming week due to a short trading week and upcoming US labor data.

•The Thai stock market closed on May 31, 2024, at 1,568.37 points.
•The market declined by 0.60 points (-0.04%) with a trading value of 89,345.46 million THB.
•The market adjusted due to the MSCI Rebalance in May 2026 (2024) impacting closing prices.
•Thailand is expected to see a Net Outflow of -80 million USD due to the MSCI Rebalance.
•Reports of the US and Iran extending a ceasefire by 60 days boosted stocks benefiting from war cessation and falling oil prices.
•Stocks benefiting from the end of conflict, such as electronics, transportation, power plants, and finance, outperformed.
•Stocks linked to declining crude oil prices, including oil, refineries, and petrochemicals, put pressure on investor sentiment.
•Volatility is expected in the coming week, with resistance at 1,590 points and support at 1,560 points.

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Saraphol Veeramethakool

"The Thai stock market rose for most of the day, following the trend of other markets in the Asian region."

ตลาดหุ้นไทยวันนี้ปรับตัวขึ้นเกือบตลอดทั้งวัน ตามทิศทางเดียวกับตลาดหุ้นอื่นในภูมิภาคเอเชีย

Saraphol Veeramethakool

"Volatility is still expected next week, which needs to be monitored during the period the Thai stock market is closed this weekend."

คาดว่าในสัปดาห์หน้าจะยังคงมีความผันผวนได้ ซึ่งยังคงต้องติดตามในช่วงที่ตลาดหุ้นไทยปิดทำการในช่วงวันหยุดสัปดาห์นี้

Krungsri Securities(บล.กรุงศรี)ℹ️

A securities company providing analysis on the Thai stock market.

A prominent electronics component manufacturer whose stock performance significantly impacted the Thai market.

Kasikorn Securities(บล.กสิกรไทย)ℹ️

A securities company providing investment strategy analysis for the Thai stock market.

A Thai oil and gas exploration and production company whose stock movements are closely watched.

A Thai energy and infrastructure company.

A major telecommunications provider in Thailand.

The operator of the 7-Eleven convenience store chain in Thailand.

United States(สหรัฐฯ)ℹ️

A major global economic power influencing international relations and financial markets.

Iran(อิหร่าน)ℹ️

A Middle Eastern country whose relations with the United States have significant geopolitical and economic implications.

Saraphol Veeramethakool(นายสรพล วีระเมธีกุล)ℹ️

Assistant Managing Director and Head of Investment Strategy at Kasikorn Securities, providing market analysis.