CAUTIOUS OPTIMISM FOR THE BOURSE

The Stock Exchange of Thailand's recovery is expected to continue into the second half, assuming no new negative factors, writes Nuntawun Polkuamdee

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Following a poor performance over the past two years, the Stock Exchange of Thailand (SET) was again hobbled by a series of negative factors in the first four months of 2025, causing the index to plunge by more than 20%.

Despite the sluggish start, recovery signals emerged as risks begin to ease, prompting investor confidence to return, with a clear rebound in both the bond and equity markets starting in May.

This recovery trend is expected to continue into the second half of the year, assuming no additional negative shocks occur, pundits say.

A MURKY START

The SET index recorded a prolonged decline, hitting a five-year low of 1,056.41 points on April 8, its lowest level since April 2020. This was a sharp drop from the year's peak of 1,354.74 points posted on Jan 27, nearly a 300-point decrease.

Several domestic and global factors have severely undermined investor confidence in Thailand's equity market, especially corporate scandals and governance issues.