Analysts say the Thai stock market is keeping a close eye on the impeachment trial of 'Sathit'. If the prime minister succeeds, they believe the stocks will rise, but if he does not succeed, they will fall, not much, because the market believes that the new government leader will be able to take over economic policies. The private sector is concerned that 'changing horses in midstream' will cause foreign investment to stop. Mr. Wichien Arayaphisit, investment strategist at Liberator Securities, gave an interview on the Investment Minute program on Channel 9 MCOT HD about the direction of the Thai stock market today, which is volatile due to a combination of positive and negative factors. On the positive side, the US Producer Price Index (PPI) figures have been adjusting in a slowing direction, lower than analysts had predicted. Tonight, we still have to keep an eye on the disclosure of the Consumer Price Index (CPI) to see if it will slow down as well. On the negative side, there is the conflict in the Midd le East, which has slowed down the momentum of crude oil. In the afternoon, we have to keep an eye on the Constitutional Court's consideration of Mr. Settha Thavisin's disqualification as prime minister due to the appointment of Mr. Phichit Chuenban to the 'ministerial seat' of the Prime Minister's Office, because the political direction is a factor that puts some pressure on the market. The market needs clarity. If the consideration results show that the prime minister continues, it will support the SET Index to return to positive territory. However, if he does not continue, it is believed that the momentum in the market will respond negatively, but not much, because it is believed that the selection of a government leader will not be too late and that the government's economic measures can be taken, which will support the momentum. The market will shrink in a defensive manner. In the future, we see that the Thai stock market will have more and more investment opportunities. We see today's movement range at 1,290-1,310 points. Mr. Kriangkrai Thienukul, Chairman of the Federation of Thai Industries (FTI), said about the case where the Constitutional Court will rule on the status of Mr. Settha Thavisin as a minister this afternoon (14 August) that it is an important matter because it affects the confidence of both domestic and foreign investors, which will affect the driving force of the Thai economy to continuously expand amidst the risk factors both domestically and internationally that are continuously coming in. If the Constitutional Court rules that Mr. Settha's status as a minister ends, it will affect the confidence of investors, especially investors in the United States and the European Union (EU) who are sensitive to the political stability of the countries they invest in. They may postpone their plans indefinitely or decide to invest in other countries because they are not sure whether the previously announced policies will change if there is a change in the Prime Minister or the new Cabinet. In the pas t, the Prime Minister has played the role of a salesman, going on a roadshow with the BOI to meet CEOs of large companies to attract investment. If there is a change in leadership, it will definitely affect investment decisions. 'Changing horses in midstream could cause investors who are in the process of making a decision to adjust their plans to invest in other countries instead because they are not sure if what the Prime Minister promised will change or not. This could result in having to start everything over again, which would be a waste of time and opportunities unnecessarily,' said Mr. Kriangkrai. -516, 517 Source: Thai News Agency
Tuesday, September 17, 2024