SET Index Jumps 15pts on Fed’s Slow Rate Hike and Better Covid-19 Outlook

SET Index rose 15.39 points or 0.96% to 1,626.59 points, with a trading value of 21.8 billion baht as of 10:25 local time in Thailand on August 30, 2021.

The surge in the Thai stock market, as well as other regional markets came after the U.S. Federal Reserve signaled for asset tapering later this year, but would take more time for a rate hike.

New Covid-19 cases in Thailand dropped to 15,972 today, but fatality remained high at 256.

 

Mr. Ekpawin Suntarapichard, investment strategists of the Siam Commercial Bank Securities (SCBS), stated through “Kaohoon Jor Talad Program” on August 30, 2021, that the 1,590 – 1,600 points should be a support level for SET Index, expecting to extend its gain this morning in response to the Fed’s statement regarding the tapering and rate hike. Meanwhile, the Covid-19 situation in Thailand had a better outlook, coupled with lockdown easing. However, the SET Index could slow down this week after a sudden surge and long rally last week.

Mr. Suntarapichard added that the index could drop lower than the support level, but should not lower than 1,560 points, and advised investors for two-step investment, first on the support level around 1,590 points, and if the market continues to plummet, the second investment should be around 1,560 points. In addition, 1,675 points should be a good point to take profit.