Thailand's SET Limits Daily Stock Price Fluctuations to 15%

The Stock Exchange of Thailand (SET) has announced a temporary measure to limit the daily price fluctuation of local stocks to 15%. This decision, effective from June 23, 2025, aims to stabilize the market and prevent excessive speculation and drastic price movements. The new limit applies to all stocks listed on the SET.

The move comes as part of broader efforts to manage market volatility and ensure a more stable trading environment. By capping the daily price movement at 15%, the SET seeks to mitigate the impact of sudden market shifts, which can often lead to panic selling or buying. This measure is particularly relevant in the current economic climate, where global uncertainties and local economic factors can cause significant fluctuations in stock prices.

The decision to implement this temporary limit is a proactive step by the SET to safeguard investor interests and maintain market integrity. It reflects the exchange's commitment to creating a more predictable and stable trading environment, which is crucial for attracting both domestic and international investors. The 15% limit is designed to provide a buffer against extreme price movements, allowing investors to make more informed decisions without the fear of sudden, drastic changes in stock prices.

This measure is part of a broader strategy to enhance market stability and investor confidence. By limiting daily price fluctuations, the SET aims to reduce the risk of market manipulation and ensure that price movements are more reflective of underlying fundamentals rather than speculative trading. This approach is expected to foster a more balanced and sustainable market, benefiting both individual investors and institutional players.

The implementation of this temporary limit is a clear indication of the SET's proactive approach to market regulation. It underscores the exchange's role in maintaining market stability and protecting investor interests. As the market continues to evolve, such measures will be crucial in ensuring that the SET remains a reliable and trusted platform for trading and investment.