BANGKOK, July 5 -- The Stock Exchange of Thailand (SET) Index at the end of June show an increase of 6.8 per cent over the previous month, marking it as the best performer in Asia, and up 10.6 per cent from the end of 2018 to 1,730.34 points.
The average daily trading value of SET and Market for Alternative Investment (mai) in June was Bt60.53 billion (approximately US$1.95 billion), up 3.1 per cent from the preceding month. Foreign investors were the net buyers of Thai shares for the third straight month in June, gaining the highest monthly net inflows in the region. Forward and historical P/E ratios of SET were 16.4 times and 18.6 times respectively at end-June, compared with the average of the Asian peers of 14.5 and 16 times respectively. Dividend yield ratio of SET was 2.98 per cent at the mid-year point, above Asian stock markets’ average ratio of 2.79 per cent. A combined market capitalisation of SET and mai at end-June jumped by 10.9 per cent from end-2018 to Bt18 trillion, moving in tandem with the SET Index. Funds mobilized through IPOs during the first half of 2019 stood at Bt8.53 billion.
In June, the average derivatives trading volume rocketed by 65 per cent from the previous month to 590,647 contracts per day. SET Senior Executive Vice President Soraphol Tulayasathien said that the SET Index rose to the highest among Asian bourses with the most value of foreign net inflows in June, boosted by the prospect of continuity in Thailand's economic policies following a clearer picture of local politics, coupled with a string of positive external factors including US-China’s easing of trade tensions and the US Federal Reserve’s gradual move in monetary policy.
Author: Pete McGee