
RECAP: Asian equities mostly fell yesterday on profit-taking after a rally earlier in the week that was helped by a bullish mood on Wall Street and bets that US interest rate cuts could come sooner than previously expected.
Sentiment on the SET was downbeat all week, as investors await signals from the US when the Donald Trump administration takes office on Monday.
The SET index moved in a range of 1,334.79 and 1,365.55 points this week, before closing yesterday at 1,340.63, down 2% from the previous week, with daily turnover averaging 41.79 billion baht.
Institutional investors were net buyers of 4.19 billion baht, followed by brokerage firms at 1.94 billion. Foreign investors were net sellers of 4.27 billion baht, followed by retail investors at 1.85 billion.

NEWSMAKERS: China recorded one of its slowest growth rates in decades at 5% last year, down from 5.2% in 2023. It met the government's modest target only because of a stimulus blitz and export boom.
- China's December exports jumped 10.7% year-on-year, as factories rushed to fill orders to beat tariffs threatened by Donald Trump. Its trade surplus with the world reached $1 trillion in 2024.
- New loans by Chinese banks posted their first decline since 2011 last year, underscoring weak demand for financing amid deflation and a housing slump.
- US December inflation rose 2.9% year-on-year, up from 2.7% the previous month. But core inflation actually eased once food and energy prices are excluded, fuelling optimism that the Federal Reserve is on track to keep cutting interest rates.
- Donald Trump's economic team is discussing gradually ramping up tariffs month by month, as a way to increase negotiating leverage while helping avoid a spike in inflation, Bloomberg reported.
- Apple's smartphone shipments in China plunged 25% in the fourth quarter of 2024, the research firm Canalys said. It lost its top spot in terms of market share at 15%, behind Vivo (17%) and Huawei (16%).
- China will investigate allegations that the US dumps lower-end chips and unfairly subsidises its own chipmakers, in a potentially major retaliatory move against American tech sanctions, which now include a ban on sales and imports of connected cars and related technology.
- The Taiwanese chipmaker TSMC, a major Apple and Nvidia supplier, said fourth-quarter net profit rose 57% to a record US$11.38 billion, on surging demand for semiconductors used in AI processing.
- Indonesia's central bank surprised markets by cutting its policy rate by 25 basis points to 5.75%, signalling a shift to lower rates to support growth despite emerging inflation risks.
- JPMorgan Chase reported the highest annual profit in American banking history, at $58.5 billion, up 18% from 2023. Morgan Stanley reported fourth-quarter net income of $3.7 billion, up from $1.5 billion a year ago.
- Hong Kong International Airport is seeking investors to help fund a US$12.8-billion expansion, which includes two marinas, as one of the world's busiest transit hubs looks to boost visits.
- Thailand's Board of Investment announced updates to the Long-Term Resident (LTR) visa programme to attract a broader range of foreign experts, investors and executives in a move to broaden the country's talent pool and enhance its competitiveness.
- The BoI said 2024 investment value exceeded 1.13 trillion baht, up 35%, the highest in 10 years. It has set a 2025 target for strategic industry investments at over 1 trillion baht.
- The Easy E-Receipt consumption stimulus programme offering tax deductions for middle-income taxpayers, began on Thursday and will last until Feb 28. It is expected give a boost the economy in the first quarter, before growth momentum slows from the second quarter onwards.
- Consumer confidence in Thailand surged for the third consecutive month in December, achieving its highest point in six months, primarily driven by government stimulus measures and a robust tourism sector, the University of the Thai Chamber of Commerce said.
- The cabinet approved in principle a bill seeking to legalise casinos to boost tourism and tackle rampant illegal gambling in Thailand. The draft will be studied by the Council of State before it can be sent to the House.
- Former prime minister Thaksin Shinawatra lent his voice to calls to legalise online gambling, which he said could net the government as much as 100 billion baht ($2.89 billion) in annual revenues.
- The Securities and Exchange Commission is considering allowing individuals and institutions to invest in local bitcoin exchange-traded funds (ETFs), said secretary-general Pornanong Budsaratragoon.
- The Energy Regulatory Commission says it can reduce the power tariff by 17 satang per unit, from 4.15 baht now, if the government reduces its spending on a policy to promote renewable energy investment.
- The Ministry of Finance said the second phase of the 10,000-baht handout programme, for elderly citizens aged 60-plus, would start on Jan 27 with funds transferred through government apps.
- The Tourism Authority of Thailand expects the Chinese New Year travel period (Jan 24 to Feb 2) will bring 1.35 million foreign tourists to Thailand and 2.22 million domestic trips, with projected circulation of 40 billion baht, a 10% increase from 2024.
- Police say two Chinese mobile phone makers, Oppo and Realme, will face charges under the Computer Crime Act for preinstalling a loan app on their devices. The companies have apologised and said such apps would no longer be offered.
- The Federation of Thai Capital Market Organisations said the December investor confidence index dropped to a bearish level at 78.52. Economic recovery is expected to boost confidence the most, followed by capital inflows and tourism recovery.

COMING UP: On Monday, Germany reports inflation. On Tuesday the UK releases unemployment data and the World Economic Forum opens in Davos. On Wednesday, the US releases monthly leading indicators and Japan announces trade figures. On Thursday, the Bank of Japan holds an interest rate meeting. On Friday, the US releases existing home sales and manufacturing and composite PMI updates.
- Locally, Chulalongkorn University and Huawei will hold the Asia Pacific Cloud AI Forum and Huawei Developer Competition on Tuesday.

STOCKS TO WATCH: Krungthai XSpring Securities recommends investors reduce holdings in growth stocks and increase focus on value stocks, such as KBANK, SCB, TTB, KKP, BLA, BDMS, CPN and CPALL, all of which have long-term growth potential.
- InnovestX Securities says the Thai economy is showing signs of recovery, supported by positive trends in tourism, consumption and investment. It recommends focusing on large-cap defensive stocks with high domestic exposure, based on four themes: Value (AOT, BBL and CPALL); Dividends (AP, BCP and LHHOTEL); Laggards (BCH, GPSC and HMPRO); and Mid-small cap growth stocks (AMATA, AU and INSET).
- TECHNICAL VIEW: InnovestX Securities sees support at 1,330 points and resistance at 1,370. Kasikorn Securities sees support at 1,330 and resistance at 1,360.