Thai stock market closes lower; analysts predict rebound on Wednesday

The Thai stock market has been on a downward trend, closing lower for two consecutive days and dropping more than 5 points, or 0.3 percent, to finish at 1,617.13 on Tuesday. The Stock Exchange of Thailand (SET) is now just below the 1,620-point mark but is expected to rebound on Wednesday amid favorable global market conditions.

This downturn is occurring against a backdrop of optimism in global markets, primarily driven by falling crude oil prices and hopes for a resolution to ongoing conflicts in the Middle East. U.S. and European markets saw significant gains, which are likely to influence Asian markets positively when they open. The strong performance in these markets is attributed to a major rally on Wall Street, where the Dow, NASDAQ, and S&P 500 all reached record closing highs.

Volume on the SET was notable, with 10.861 billion shares traded, amounting to 77.757 billion baht. Overall, there were 249 decliners compared to 194 gainers, indicating a prevailing cautious sentiment among investors. The market losses were largely driven by declines in the consumer, resource, service, and technology sectors, though gains in financial and industrial sectors provided some offset.

Looking ahead, analysts anticipate a potential upward movement in the Thai market, fueled by the positive momentum from global markets and improving economic indicators. If the optimism surrounding crude oil and geopolitical issues continues, it could provide the necessary support for the SET to climb back above the 1,620-point threshold, which would be a key psychological level for investors.