CGS Expects SET to Move within 1,530-1,570 This Week-BOT to Maintain Current Policy Rate

Country Group Securities (CGS) expected the SET Index to move within the range of 1,530-1,570 points this week due to a lack of positive factors, while domestic factors are mostly in negative ways: 1) Thailand’s politics heat up again, 2) a new cluster of Covid-19 infections in Rama II and 3) a spike in U.S. 10-year bond yield despite reaffirmation from FED that it had no plans to increase interest rates anytime soon, however, it would continue pressuring indirectly on the market.

 

CGS saw the meeting of the Monetary Policy Committee on March 24, 2021 and the international trading report which is scheduled to release on March 24 as well to significantly weigh on investment this week. CGS expected the MPC to maintain policy rate at 0.5%, and also said that if the figure of exports-imports trading report in February beat the expectation of -2%YoY and 11.5%YoY, respectively, it could be positive to the stock market. 

 

For investment strategy, CGS recommended investing in construction (CK, STEC), shipping (PSL), hospital (CHG), food (ASIAN), banking (BBL, KBANK, SCE).