Bangkok, The investor confidence index is in the ‘stable’ range for the 4th consecutive month, supported by government economic stimulus measures and Fed policy. Keep an eye on Middle East conflicts – domestic politics
Mr. Kobsak Phutrakul, Chairman of the Thai Capital Market Business Council Revealing the Investor Confidence Index (FETCO Investor Confidence Index) Survey results in May 2024 (23-31 May 2024) found that the Investor Confidence Index (FETCO Investor Confidence Index: ICI) in the next 3 months Page is at the level of 100.72, which is still in the “stable” criteria for the 4th consecutive month. Investors view that the government’s economic stimulus measures It is the most confidence-boosting factor. Followed by the monetary policy of the Federal Reserve (FED) and the recovery of the domestic economy. While the factor that drags down investor confidence the most is the international conflict situation. Second is the inflation situation. and fluctuations in the value of the baht
Investor Confid
ence Index (FETCO Investor Confidence Index) surveyed in May 2024 has summarized survey results as follows:
? Confidence index includes all investor groups in The next 3 months (August 2024) are in the ‘stable’ range (index range 80-119) at the level of 100.72
? Confidence in the group of individual investors. Securities company accounting group and foreign investors are in the “stable” category, while the confidence of institutional investors is in the “hot” category.
? The most interesting business category is the food and beverage category (FOOD).
? The business category that The most uninteresting is the fashion category (FASHION).
? The supporting factor that has the most influence on the Thai stock market is the government’s economic stimulus measures.
? The drag factor that has the most influence on the Thai stock market. is the international conflict situation.
Survey results as of May 2024 by investor group found that confidence in the individual investor group increased by 26.7% to the level
of 96.88. The securities company accounting group increased by 28.6% to the level of 100.00. Domestic institutions decreased 0.7% to the level of 122.22 and foreign investors remained stable at the level of 100.00
during May 2024. The SET Index fluctuated within a narrow range due to the lack of new factors. Come in and stimulate the market And the index fell in the second half of the month following the direction of regional stocks due to concerns that the FED may continue to maintain the policy interest rate at a high level. In addition, the Thai stock market was also affected by selling pressure from foreign investors in order to reduce risk before MSCI announced the adjustment of stocks in/out of the index calculation at the end of the month. including concerns about political issues in the country and the conflict situation in the Middle East that has not yet been resolved. The SET Index at the end of May 2024 closed at 1,345.66, decreasing 1.6% from the previous month. The average daily trading volume
in May 2024 was 45,162 million baht, and foreign investors net sold more than 16,566 million baht. Since the beginning of the year, foreign investors still net sold more than 81,641 million baht.
Foreign factors that must be followed include: The global economic recovery will result from monetary policy that tends to be relaxed. Chinese economic recovery after announcing plans to implement additional economic stimulus measures in the second half of the year. and the outlook for the conflict situation in the Middle East is still uncertain. As for domestic factors that are worth following, include the fluctuation in the value of the baht. Government spending plan as a source of funding for digital wallet measures The possibility that the Bank of Thailand will reduce the policy interest rate at the end of 2024 and the stability of Thai politics still cause concern for foreign investors.
Source: Thai News Agency