Bangkok: The Stock Exchange of Thailand (SET) has made temporary adjustments to the Ceiling and Floor, Dynamic Price Band, and short selling criteria to address potential volatility stemming from Trump's new tax policy, effective from April 8 to April 11, 2025.
According to Thai News Agency, the announcement arrives in the wake of a newly introduced tax policy that has significantly influenced the global stock market. In response, the SET's board of directors met on April 7, 2025, and resolved to implement temporary changes to certain trading criteria to help investors analyze market information and make informed decisions. Concurrently, the Thailand Futures Exchange Public Company Limited (TFEX) board approved related adjustments for futures trading.
The first adjustment involves changes to the Ceiling and Floor for daily trading, although these will not apply to DR and DRx trading. Additionally, the Dynamic Price Band trading range is modified from ±10% to ±5% of the latest trading price on a per-stock basis. Short selling will be temporarily prohibited for all securities, excluding Market Makers for SET, mai, and TFEX. These measures will be in effect from April 8 to April 11, 2025, with ongoing monitoring by the SET to adapt criteria as needed to maintain market stability and investor confidence.
Mrs. Pornanong Busaratrakul, Secretary-General of the Securities and Exchange Commission (SEC), stated that these measures are an exercise of power under the regulations of both the Stock Exchange of Thailand and the Futures Exchange Commission. The SEC and its board have agreed to these adjustments to manage events that could affect market conditions. In close collaboration with the SET and TFEX, the SEC is confident that these temporary measures will mitigate trading volatility and benefit the overall capital market. The SEC will continue to monitor and coordinate with the SET and TFEX to evaluate the situation and outcomes of these temporary measures.