SET index is likely to increase this week

BANGKOK, 27 June 2011 (NNT) – Kasikorn Research Centre (KResearch) has projected that the Stock Exchange of Thailand (SET) index is likely to increase this week (27 June – 1 July 2011) after the Greek debt crisis has eased off.

KResearch reported that the SET index last week closed at 1,022.94 points, up 0.39% from the week earlier following a declining concern over the Greek debt crisis. Meanwhile, the MAI index closed at 300.69 points, up 1.79% from the week before.

The SET index fell last Monday as investors delayed investment before rebounding on Tuesday after Greek debt crisis partially eased off; however, it went down on Wednesday due to bad economic news from the US and concerns over domestic politics before going up again on Friday.

KResearch and Kasikorn Securities predicted that the SET index this week would go up due to improving situation in the Greek debt crisis and investors’ speculations. The support line will be at 1,009-985 points and the resistance line at 1,036-1,050 points respectively.

Investors are however warned of selling force to reduce risk before the upcoming 3 July general election. Another domestic factor that should be monitored for this week is the monthly economic report on the Thai economy. External factors in focus are the global oil prices and reports of US economic figures.