ASIAN SHARES DIP AS WALL STREET RALLY STALLS

RECAP: Most Asian markets retreated yesterday amid end-of-quarter repositioning by investors, after concerns about high valuations and mixed signals from US Federal Reserve officials on interest rates stalled a record-breaking rally on Wall Street.

- NUNTAWUN POLKUAMDEE NAREERAT WIRIYAPONG

The SET index moved in a tight range of 1,268.49 and 1,296.42 points this week, before closing yesterday at 1,278.74, down 1.1% from the previous week, with daily turnover averaging 36.33 billion baht.

Retail investors were net buyers of 5.82 billion baht. Institutional investors were net sellers of 4.18 billion baht, followed by brokerage firms at 1.2 billion and foreign investors at 435.45 million.

NEWSMAKERS:

President Donald Trump announced 100% import tariffs on patented drugs from foreign countries as of Oct 1, unless companies have manufacturing facilities or have begun construction in the US. The news sent pharmaceutical shares down in markets from Europe to Asia.

= The European Union said its trade deal with the US shields the bloc’s drug exports from tariffs higher than 15%. Officials pointed to the joint statement released in July, under which Washington agreed to ensure the tariff rate on pharmaceuticals, semiconductors and lumber does not exceed 15%.

= Trump also announced a series of punishing tariffs on heavy trucks, kitchen cabinets, bathroom vanities and upholstered furniture, also effective on Oct 1.

= The US economy expanded by 3.8% quarter-on-quarter in the second quarter, the most in nearly two years, reflecting a decrease in imports and an increase in consumer spending, the final revision of official data showed.

= Trump signed an executive order that would help clear the way for a coalition of investors including the software giant Oracle to run an American version of TikTok, separate from its Chinese owner ByteDance, so that it can keep operating in the United States.

= Chicago Fed president Austan Goolsbee expressed caution about lowering interest rates as the US economy grapples with the forces of slower growth and a weaker labour market. Fed chairman Jerome Powell made similar comments, saying policymakers face a difficult path ahead.