SET hopes GDP and MPC decision will follow appointment of new government

Column: Checking Stock Trends

Thai stocks were volatile last week (August 12-16).

by “Nataphon Khamtacroya” The Director of Securities Analysis at Yuanta Securities (Thailand) said that the Thai stock market last week and most of the factors depend on the Thai politics in the decision of the Constitutional Court. In the event of the dismissal of the Prime Minister after it was decided that Mr. Sita Thavisin will stop his position as Prime Minister. Which led to the decline of the Thai stock market and its adjustment at the end of the week

After US retail sales came in well and the number of people applying for unemployment benefits fell, this makes the market relieved from the concern that the US economy is not entering a recession.

Looking ahead to next week (August 19-23), Nataphone said it should watch the 2Q24 GDP report on August 19 and the Monetary Policy Committee (MPC) meeting on August 21, which is expected to keep interest rates at 2.5%, and there will also be a global central bank meeting on August 22-24.

Including following the appointment of the new government (government), in which direction will it be? It remains to be seen whether the market will accept it or not. Especially from the Ministry of Finance. Because it will have an impact on the progress of the Vayupak Fund and will have an impact on the Thai stock market.

“This week, the Thai stock market is dependent on the Q2 GDP figures to be released. The market is expected to expand by 2.1% if it is better than expected, the stock market is likely to rise to 1320 points if it is lower than expected. We may see a pullback at the support level of 1290 points.”

For investment strategies we recommend stocks of groups that pay high dividends like GUNKUL and SCB in retail sector after the stocks of this group fell after the dismissal of the Prime Minister. Which when there is a new Prime Minister and it is expected to improve we recommend CPALL, CPAXT, BJC.

Read the original news at: SET hopes that the MPC GDP decision will be followed by the appointment of a new government.

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