MFC touts emerging Asian equities as US is overvalued

MFC Asset Management says Thai and other emerging Asian equities are becoming more attractive than US stocks, which are trading at elevated valuations, as the company is overweighting bonds relative to equities in the second half of 2025 amid global interest rate cuts.

- NUNTAWUN POLKUAMDEE

Capital inflows into emerging markets, including Thailand, have accelerated since US tariffs were announced for many Southeast Asian nations on Aug 1, pushing the Stock Exchange of Thailand (SET) index up by 50-60 points, said Chaovakorn Chotibunt, executive vice-president and head of investment strategy at MFC.

Tariffs are still as high as 50% for China and India, and further talks are expected.

MFC forecasts the SET index to trade at a support range of 1,200 points, with 1,300 for resistance this year.