ASIAN MARKETS COOL AFTER RALLY FED BY TRADE TRUCE

RECAP: Asian markets limped into the weekend as investors consolidated gains after a week-long rally spurred by a truce in the China-US trade war.

- NUNTAWUN POLKUAMDEE NAREERAT WIRIYAPONG

Thailand, however, is the sole Asian market with foreign net selling, at 3.65 billion baht for the month to date, as escalating political tension triggers fund outflows.

The SET index moved in a range of 1,190.21 and 1,231.02 points this week, before closing yesterday at 1,195.77, down 1.3% from the previous week, with daily turnover averaging 41.65 billion baht.

Retail investors were net buyers of 5.88 billion baht. Foreign investors were net sellers of 3.21 billion baht, followed by institutional investors at 2.17 billion and brokerage firms at 500.12 million.

NEWSMAKERS:

Federal Reserve chairman Jerome Powell warned of the possibility of "more persistent" supply shocks against a backdrop of uncertainty about trade and tariffs. Long-term interest rates are likely to rise due to economic changes, he said.

■ The US said it would slash tariffs on small parcels from China worth less than $100 from 120% to 54%, and possibly to 30% later, after Washington and Beijing agreed on a 90-day pause in their trade war.

The move eased major concerns at giant Chinese e-commerce platforms Shein and Temu.

■ The value of Chinese exports in April rose 8.1% year-on-year, driven by exports to Asean which jumped by 20.8% as businesses sought to dodge high US tariffs.

■ Gold prices fell below $3,200 an ounce on Wednesday as easing US-China trade tensions diminished the appeal of the safe-haven metal. Spot gold, which set a record at $3,500.05 on April 22, was on course for its worst week since last November.

■ Japan's economy shrank for the first time in a year, with first-quarter GDP adjusted for inflation contracting by 0.7% year-on-year. That illustrates vulnerability even before the full impact of US tariff measures kicks in.