(Additional) Thai stock market conditions: Index trends in the morning swing within a frame, although the US debt ceiling is rising, but Fund Flow continues to flow out.

InfoQuest News Agency (26 May 2023)

Mr. Apichart Phobanjerdkul, CISA Senior Director Strategic Analysis Division, TISCO Securities said that the trend of the Thai stock market today is expected to swing within the range. Although there has been some progress in negotiating an extension of the US debt ceiling. There is negotiation to limit the budget for spending on projects that Congress will approve annually. (Discretionary Spending) not exceeding 70 billion US dollars. Causing concerns to expand the debt ceiling some relief

However, there are still factors that pressure fund flow out of uncertainty at the Federal Reserve meeting next month, there is still a chance to raise interest rates. As a result, the 10-year US government bond yield (Bond Yield) increased to 3.8% and affected the US dollar appreciation. Causing the direction of foreigners to be able to continue selling

Other stock markets in Asia this morning turned positive and negative.

with a resistance of 1,545 points and a support of 1,530 points

Investment Consideration

– New York Stock Exchange (May 25), the Dow Jones Industrial Average closed at 32,764.65 points, down 35.27 points or -0.11%, the S&P500 index closed at 4,151.28 points, an increase of 36.04 points or +0.88% and the Nasdaq index closed at 12,698.09 points, rising 213.93 points or +1.71%

– Asian stock markets opened today, the NIKKEI 225 index, the Japanese stock market opened today at 30,909.61 points, an increase of 108.48 points or +0.35% and the SSE Composite Index, the Chinese stock market opened today at 33,198.88 points, a decrease of 2.38 points or -0.07%, while the Hong Kong stock market closed. Working today (26 May) on the occasion of Visakha Bucha Day

– The Thai stock market last closed (May 25, 2023) 1,536.51 points, 1,535.42 points, down 1.09 points (-0.07%), trading value 48,513.80 million baht.

– Foreign investors sold a net of 2,822.86 million baht on May 25, 2023.

– WTI crude oil price for delivery in July. (May 25) fell $ 2.51 or 3.38% to close at $ 71.83 / barrel.

– Refined GRM based on the Singapore market last closed (May 25) at $ 4.24 / barrel.

– The baht opened at 34.74, tending to depreciate after US economic data supported the dollar appreciation.

– Battle for the Presidency of the House of Representatives Between the Kao Klai Party and Pheu Thai Party Replying to @MrBeastYT Until it’s close to the day when the Election Commission (ECT) certifies 95% of the election results, which will be able to open a meeting of the House of Representatives, at this moment there is time to fully negotiate important positions.

– Commerce, discuss commercial-private ambassadors Knock on export plans in 7 regions, a total of 350 activities, pushing up export figures in the second half of the year Set a full-year target to return to positive 1-2%. Private sector is worried about baht fluctuations. Minimum wage increase affects production costs Confident that export value has bottomed out

– “Small debtors” are worried, the credit bureau points out that “Gen Y-X” overdue debts are rising to 500 billion, fearing to spread into bad debt. Concerned about car-home debt, rising to 3.5 billion baht, most of them in the state banks make a new debtor contract from the effect of rising interest rates

– Vice President of the Council of Employers, Traders and Industry of Thailand (Econ Thai) revealed that the council wants the new government to consider step by step and carefully in raising the minimum wage. Because if it suddenly rises to the level of 450 baht / day, there will be a repeat of the past in the Yingluck government, which raised wages to 300 baht / day nationwide in 2013, causing the production base to move from Thailand to the country. Big neighbors and new investments That emphasizes a lot of labor, it will not happen again.

*Today’s Top Stocks

– ITC (Krongsri) “BUY” target BB Consensus 28 baht, benefiting from the baht depreciation (90% exports). Net profit is expected to have hit the lowest point in 1Q23, reflected in pet food exports. of Thailand in March, which increased mom for the first time in 7 months

– AUCT (Kingsford) “BUY”, IAA Consensus target price 12.20 baht, 1Q23 profit at 96 million baht, stable QoQ but +112%YoY growth, driven by higher auction fees and auctioned car volumes. can since the end of measures to help debtors during COVID since the middle of last year As a result, the number of vehicles confiscated was increased. In the short-term, we may see a QoQ deceleration in 2Q23 due to the high holiday season. But should return to expand well again in H2/23 in line with the trend of NPL in the system. The market expects profit in 2023 at 284 million baht +13%YoY and 2024 at 304 million baht +7%YoY.

By Jerayut Chantrongsakul/Sasithorn Simaporn