Losing streak set to continue for Thai shares

Bangkok Stock Exchange
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The Thai stock market has finished lower in three consecutive trading days, dipping almost 20 points or 1.3 percent along the way. The Stock Exchange of Thailand now rests just shy of the 1,550-point plateau, and the market may extend its losing streak on Wednesday.

The global forecast for the Asian markets is weak, thanks to concerns over the outlook for interest rates and a mild decline in the price of crude oil. The European and U.S. markets were down and the Asian bourses figure to follow suit.

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The SET finished slightly lower on Tuesday following mixed performances from the financials and energy producers.

Among the actives, Airport of Thailand shed 0.65 percent, while Banpu dropped 1.02 percent, Bangkok Bank climbed 1.11 percent, Bangkok Expressway added 0.71 percent, PTT added 0.26 percent, Siam Concrete gained 0.77 percent and PTT Exploration and Production, PTT Global Chemical, Kasikornbank and Krung Thai Bank all were unchanged.

The lead from Wall Street suggests mild downside as stocks were lackluster on Tuesday before ending lower, extending the losses in the previous session.

The Dow eased 29.58 points or 0.1 percent to 20,924.76, while the NASDAQ dipped 15.25 points or 0.3 percent to 5,833.93 and the S&P 500 fell 6.92 points or 0.3 percent to 2,368.39.

Concerns about the outlook for interest rates weighed on the markets amid expectations for an increase in rates at next week’s Federal Reserve meeting. CME Group’s FedWatch tool is indicating an 84.1 percent probability of a quarter-point rate hike by the central bank.

In economic news, the Commerce Department said the U.S. trade deficit widened in line with estimates in January.

Crude oil futures were flat Tuesday, even after OPEC Minister Mohamed Barkindo said January output cut compliance numbers are “very, very encouraging.”

WTI light sweet crude oil for April was down 6 cents at $53.14 a barrel, holding in the middle of an exceptionally prolonged trading range between $50 and $55.


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