Bangkok Post – Subdued earnings performance puts pressure on SET

The SET index established a trading range between 1,357 and 1,405 points in February. The bourse hit a low of 1,357 at the start before bouncing back, but traded mostly sideways for the remainder of the month. Key factors expected to influence market direction in March include:

Chinese stimulus: Investors are hopeful the latest measures get things moving again, including a 50-basis-point cut in banks’ reserve ratio, a five-year loan prime rate reduction to 3.95% from 4.2%, and exchange-traded fund investment by state-owned Central Huijin Investment.

Rate expectations: Recent US inflation data has led to expectations the Federal Reserve will start cutting interest rates later this year. Investors now see a 50% chance of a reduction in June, according to the CME FedWatch Tool.

Post-earnings season headwinds: 35% of the companies on the SET index missed…