Thai Market Shows Volatility Amid Global Positivity

The Thai stock market remains volatile, recently dropping while global markets are buoyed by easing inflation. This trend hints at future fluctuations, requiring careful monitoring by investors.

Date: 16-05-2025

AI Rating: 5

In recent trading days, the Thai stock market has displayed considerable volatility, with fluctuations between positive and negative performance. It is critical for investors to note that these short-term movements can be influenced by several external factors. The report suggests that easing inflation and concerns over tariffs have positively affected global market sentiments, potentially providing support to the Thai market as it looks to open positively on Friday.

Market Performance: The Stock Exchange of Thailand has experienced a sharp decline, losing 22.22 points or 1.83% to close at 1,194.49. Such a drop indicates a bearish trend, raising concerns about investor confidence and market stability. The trading volume was high at 9.638 billion shares, indicating active participation despite the decline.

Sectors Impacted: Losses were noted across multiple sectors, including food, consumer, finance, industrial, property, resource, service, and technology, signaling widespread caution among investors. Noteworthy declines in stock prices, such as Thailand Airport's drop of 6.67%, reflect significant investor hesitation which might translate into long-term trends if not addressed. Conversely, some companies like CP All Public saw a slight positive shift with a 1.47% increase. This mixed performance indicates selective investor interest but also highlights the risks.

Global Context: Analysing the external environment, the mixed performance on Wall Street, with the Dow Jones gaining while NASDAQ dipped, further complicates the outlook. Furthermore, the ongoing negotiations around a nuclear deal with Iran and plummeting crude oil prices may impact sectors reliant on oil prices, adding another layer of uncertainty for investors to navigate.

Investors should stay vigilant regarding these developments, especially with the risk of further declines in the Thai stock market if the current trends continue. Overall, the mixed sentiments, combined with rising global positivity, may lead to more fluctuating stock prices in the near term.

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