SET Index posts 0.7% rise in May

SET Index posts 0.7% rise in May

The SET Index in May rose 0.7% from the previous month to close at 1,539.59 points, with gains in manufacturing, exports and commodity shares partially offset by the worsening pandemic.

Soraphol Tulayasathien, senior executive vice-president of the Stock Exchange of Thailand (SET), said foreign investors reported net buying at the beginning of June, suggesting more foreign funds may flow into the Thai bourse this month.

The last week in May, foreign investors were net buyers of 5.19 billion baht worth of shares. However, foreign investors remain net sellers worth 66.9 billion baht for the first five months.

"The prospect of a global economic recovery has boosted the Thai stock market, helping it survive during the 'sell in May' phenomenon with gains," Mr Soraphol said.

Manufacturing, tech, real estate, food and consumer stocks on both the SET and the Market for Alternative Investment (MAI) outperformed their regional counterparts last month.

However, it was only a partial recovery for the Thai bourse as tourism-related sectors, a major driver of the country's GDP, still remain in a slump.

He said two short-term external factors to monitor in the second half of the year are the US economic stimulus packages and the tapering of quantitative easing.

In addition, recovery of the tourism sector and related businesses is expected to be the mid-term driver for the Thai capital market, while environmental, social and corporate governance investments are expected to be the long-term driver.

Companies listed on the SET100 Index and the MAI have become more attractive thanks to increases in their trading value, contributing up to 35% of total trade in the first five months of the year, up from 27% in 2020.

Mr Soraphol said the share prices of mid-sized to small SET-listed companies are more volatile than those listed on the SET50 and SET100 indices.

Do you like the content of this article?
COMMENT

Official arrested for pocketing B13m Covid money for disabled

An official in charge of finance at the Social Development and Human Security Ministry was arrested on Sunday for allegedly stealing 13 million baht earmarked for disabled people affected by the Covid-19 pandemic.

18:37

Philippine boxer Pacquiao announces bid for presidency in 2022

Philippine boxer and Senator Manny Pacquiao has announced his candidacy for next year’s presidential elections, presenting a potential obstacle to President Rodrigo Duterte’s succession plans as the race for the top post takes shape.

17:17

Huge drug hauls in Songkhla, 2 arrested

SONGKHLA: Police seized a total of 882,000 methamphetamine pills and 5.6 kilogrammes of crystal methamphetamine in two separate actions in Hat Yai and Bang Klam districts last week, Provincial Police Region 9 commissioner Pol Lt Gen Ronnasin Pusara said at a press conference on Sunday. Two suspects were arrested.

17:06