The baht gradually weakened. while Thai stocks dropped slightly at the end of the week. but still standing above 1,600 points, keep an eye on important factors next week Covid situation-Covid-19 vaccine distribution plan U.S.-China relations after the U.S. imposes a ban on further investments in Chinese companies.
Kasikorn Research Center Summary of the movement of the baht that The baht gradually weakened at the end of the week. The baht appreciated at the beginning of the week in line with most regional currencies. In addition, there was additional support from foreign investors’ net buy signals of Thai stocks and bonds.
However, the baht fell in the positive range. and gradually weakened back during the rest of the week Meanwhile, strong US economic data such as PMI data and private employment numbers for May. Fueling market concerns about US inflation and support the US Bond Yield and the dollar rose
On Friday (June 4), the baht was at 31.26, compared with 31.25 baht per dollar. On the previous Friday (28 May)
For the next week (June 7-11), KASIKORNBANK sees the movement of the baht at 31.15-31.50 baht per dollar. Meanwhile, the Kasikorn Research Center has assessed key factors that need to be monitored, including the situation and plans for the distribution of the COVID-19 vaccine in the country.
While important US economic numbers include inflation (CPI) in May, consumer confidence index in June. (Preliminary) Number of job openings Inventory in the wholesale sector in April and the number of weekly unemployment benefits claims
The market is also awaiting the Monetary Policy Meeting of the Bank of Canada and the European Central Bank. GDP figures for the quarter 1/64 (final) of Japan and the Eurozone as well as Chinese economic figures in May, such as exports, consumer price index Producer Price Index and RMB lending
The movement of the Thai stock market Thai stocks closed higher than last week. But the positive range started to narrow towards the end of the week, with the SET index closing at 1611.53 points, up 1.87% from the previous week. The average daily trading value was 100,913.11 million baht, down 8.78% from the previous week, while the mai index rose 3.63% to close at 497.61 points.
Thai stocks rallied earlier in the week amid hopes of boosting domestic vaccination. Including additional measures from the government to reduce the cost of living and recover the economy from the impact of Covid 19, which stimulates the purchase of many stocks. especially the energy sector, which has additional positive factors from the rise in world oil prices.
However, Thai stocks fell slightly later on the back of commercial banking sell-offs. Including investors’ caution signal while waiting to closely monitor the issue of vaccine distribution in the country.
For the next week (June 7-11), Kasikorn Securities Co., Ltd. sees the Thai stock index as support at 1600 and 1,590 points, while resistance is at 1,625 and 1,635 points, respectively. Those that need to be monitored include the situation of COVID-19, as well as the control of the outbreak situation and the distribution of the COVID-19 vaccine in the country and abroad. Including the relationship between the United States and China after the United States imposed a ban on further investment in Chinese companies.
The important US economic data is the April international trade numbers. including the consumer price index in May Other important foreign factors include the ECB meeting, the 1Q64 GDP figure of the Eurozone and Japan. as well as economic data for May of china
Read the original article: Thai baht depreciates Keep an eye on the important factors next week – Covid vaccine distribution plan
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