(RTTNews) – Ahead of Wednesday’s holiday for Coronation Day, the Thai stock market had moved lower in back-to-back sessions, sinking more than 15 points or 0.9 percent along the way. The Stock Exchange of Thailand now sits just above the 1,650-point plateau although it’s due for support on Thursday.
The global forecast for the Asian markets is upbeat on optimism regarding the outlook for interest rates. The European markets were down and the U.S. bourses were up and the Asian markets figure to follow the latter lead.
The SET finished modestly lower on Tuesday following losses from the financial shares and the energy producers.
For the day, the index shed 15.15 points or 0.91 percent to finish at 1,652.29. Volume was 21.156 billion shares worth 67.070 billion baht. There were 1,509 decliners and 338 gainers, with 371 stocks finishing unchanged.
Among the actives, Advanced Info retreated 1.40 percent, while Thailand Airport gained 0.75 percent, Banpu dropped 0.81 percent, Bangkok Bank fell 0.38 percent, Bangkok Dusit Medical tumbled 1.94 percent, CP All Public advanced 0.77 percent, Energy Absolute skidded 1.41 percent, Gulf slid 1.03 percent, IRPC added 0.57 percent, Kasikornbank declined 1.31 percent, Krung Thai Bank tanked 1.97 percent, PTT Oil & Retail lost 0.40 percent, PTT shed 0.67 percent, PTT Exploration and Production stumbled 1.66 percent, SCG Packaging gained 0.60 percent, Siam Commercial Bank rallied 2.17 percent, Tisco collected 0.83 percent and TTB Bank sank 0.77 percent.
The lead from Wall Street is broadly positive as the major averages hugged the unchanged line for most of the day before skyrocketing in the final hour.
The Dow surged 932.27 points or 2.81 percent to finish at 34,061.06, while the NASDAQ soared 401.10 points or 3.19 percent to end at 12,964.86 and the S&P 500 jumped 124.69 points or 2.99 percent to close at 4,300.17.
The late-day rally on Wall Street came after Federal Reserve Chair Jerome Powell indicated the central bank does not plan to raise interest rates as aggressively as some had feared.
The comments from Powell came after the Fed announced its widely expected decision to raise interest rates by half a percentage point in an effort to return elevated inflation to its 2 percent objective – even though overall U.S. economy activity edged down in the first quarter.
In economic news, the Institute for Supply Management showed an unexpected slowdown in the pace of growth in U.S. service sector activity in April. Also, payroll processor ADP showed U.S. private sector job growth slowed more than expected last month.
Crude oil prices rose sharply Wednesday, lifted by the European Union’s decision to impose sanctions on Russian oil. West Texas Intermediate Crude oil futures for June climbed $5.58 or 5.5 percent to $107.79 a barrel.
Closer to home, Thailand will see April results for its consumer confidence index and inflation later today. In March, the consumer confidence index score was 42.0, while overall inflation gained 0.66 on month and 5.73 percent on year. Core CPI rose an annual 2.0 percent.