Thai stock market could sink below 1,300 amid foreign investor exodus

In a worrying development, analysts signalled that the Stock Exchange of Thailand (SET) index, which plummeted to a three-year trough yesterday, could continue its descent to below 1,300 points in the short term as foreign funds persist in their exodus.

The Thai stock market appears unaffected by the recent resurgence of other equity markets, despite encouraging indicators emerging since last month, such as falling inflation and interest rate tendencies. This observation was made by Sorrabhol Virameteekul, the senior vice president of Kasikorn Securities.

The SET index suffered a 1.16% decline yesterday, reaching its lowest point since November 18, 2020, said Sorrabhol.

“Foreign investors, who are responsible for up to 40% of trading on the SET, seem to have abandoned the Thai market. Last year, they purchased Thai stocks worth 190…