The SET index fell 10 points in the afternoon as a strong sell-off in stocks led to concerns about the Thai economy growing below target.

Thailand's stock market index fell 10 points in the afternoon after a finance ministry report predicted the Thai economy would expand 1.8% in 2023, but still awaited official confirmation. Additionally, foreign brokers have downgraded their forecasts for large Thai stocks.

At 3:10 pm, the SET index was down 10.18 points (-0.74%) at 1,359.74 points.

Senior Director of Securities Analysis at RHB Securities (Thailand) Mr. Saraut Dekochavalit said the Thai stock market fell more than any other stock market. Meanwhile, the Chinese stock market and the Hong Kong stock market rallied again following news of the establishment of an equity-backed fund. Our local market responded to the Finance Ministry's report that the Thai economy should expand by 1.8% in 2023, more than the market's expectation of 2.3%, which caused market anxiety. It is still awaiting official confirmation, however, it is assumed that this could be the game that will offer a digital wallet.

At that time, the futures market fell more than the stock market. It is expected that there may be some drawbacks to managing risk. As the futures market flows down, so will the stock market. High-beta stocks like JMART Group will be the first to sell, the SET index will fall close to the original support level of 1,354 points, which is the lowest point. The year is 2023.

In addition, Thai stocks were earlier linked to foreign factors, which were expected to lead to the Federal Reserve (Fed) starting to cut interest rates in May. 67 as originally expected in March 2024 due to strong US economic numbers. Especially employment numbers so there is no factor in lowering interest rates to support the Thai stock market again.

The support level is 1,354 points and if it is broken, the next support level is 1,342 points. The resistance level is 1,380 points.

Meanwhile, foreign brokers Macquarie Securities cut targets for large stocks, for example in the case of AOT, where the recommendation was cut to underperform and the price target was cut to 54 baht, a 25% downside. Additionally, major banks such as KBANK, BBL, KTB, cut prices while TTB adjusted prices, as well as ERW and MINT.