SET sees support for ongoing surge

The Thai stock market is expected to continue growing next month, supported by easing global trade tension, a downward trend for global interest rates, and inflows into Thai ESG Extra (ESG X) funds, says the Stock Exchange of Thailand (SET).

- NUNTAWUN POLKUAMDEE

Soraphol Tulayasathien, senior executive vice-president, said the SET is projected to perform better next month after soaring 7.06% month-to-date. The Thai index has contracted 13.3% for the year.

There are several supportive factors, including easing global tensions, that have attracted fund inflows into both Thai bonds and equities, he said.

The new Thai ESG X funds and the expected rollout of government stimulus should also lift the SET, said Mr Soraphol.

Excluding energy stocks, which were affected by the global economic slowdown, other listed companies are anticipated to report improved first-quarter financial results year-on-year, he said.

Investors are selling US treasuries, formerly considered safe-haven assets, on concerns the US economy may be affected by ongoing trade wars, said Mr Soraphol.