The SET index retreated in the past week, with key supports at 1,510 and 1,520, due mainly to political uncertainty, while first-quarter earnings also triggered sell-on-facts activity.
The combined net profit of SET-listed companies edged down 2% year-on-year, but was up 62% quarter-on-quarter on the back of extra items in the fourth quarter of 2022. Excluding extra items, core earnings in the first quarter would have fallen 4% year-on-year and 4% quarter-on-quarter, in line with our forecasts but off the market consensus by 4 percentage points.
The year-on-year earnings drop reflected inventory losses and weaker refining margins of refiners; higher cost pressures from labour, power and rental expenses; slowing global demand for some export-focused sectors, as well as softer…
