Thai SET Index Reverses Three-Day Falling Streak: Big-Cap Stocks Drive Market Recovery

The Thai SET Index reversed its three-day falling streak on October 31, 2024, rising by 1.30% due to purchases of big-cap stocks like DELTA, ADVANC, GULF, and PTTEP. This uptick reflects a technical rebound against falling trends in other Asian markets and is fueled by positive market sentiment and economic growth projections.



The finance ministry anticipates economic growth of 3% by 2025, driven by private consumption, exports, investment, and tourism. This projection aligns with the market's recovery path, as indicated by the targeted SET Index of 1,500 points in 2025. The global economic rebound, interest rate cuts in developed economies, and accelerated Thai budget disbursement are expected to support this growth.

Foreign investors play a significant role in the Thai stock market's recent volatility. Their capital inflows and outflows, market sentiment, exchange rates, sectoral impact, regulatory influence, long-term investments, and diversification strategies can all impact the market's performance. The surge in investment commitments in Thailand, driven by electronics and data center projects, highlights the significance of foreign investment in the market's recovery.



Looking ahead, the Thai SET Index is expected to trade at 820.59 points by the end of this quarter and 804.73 in 12 months, according to Trading Economics global macro models and analysts' expectations. The market is likely to trade sideways in the near future, influenced by both domestic and international factors.

In conclusion, the Thai SET Index's reversal from a three-day falling streak can be attributed to the performance of big-cap stocks, positive market sentiment, and economic growth projections. Foreign investors play a crucial role in the market's volatility and can impact its performance through various channels. As the market continues to evolve, investors should closely monitor both domestic and international factors to make informed decisions.