# CGS International Securities (CGSI) Advocates Caution and Strategic Approaches to Investing in Thai Equities

- Link: https://www.thailand-business-news.com/markets/206803-cgs-international-securities-cgsi-advocates-caution-and-strategic-approaches-to-investing-in-thai-equities
- Published: 2025-04-05T15:10:33+07:00
- Author: Abhishek Prakash

**CGS International Securities expects SET Index volatility influenced by U.S. markets
and tariff uncertainties. Thailand’s GDP growth projected at 2.3% for 2025. BOT 
likely to cut interest rates.**

CGS International Securities anticipates the SET Index to face fluctuations due 
to external factors, including developments in U.S. markets and ongoing tariff concerns.
Meanwhile, Thailand’s GDP growth for 2025 is estimated at 2.3%, reflecting cautious
economic momentum. The Bank of Thailand (BOT) is expected to lower interest rates
to stimulate growth amidst global uncertainties. Investors are advised to monitor
international trends closely, as they may significantly impact market sentiment 
and domestic economic policies.

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## Market Volatility and Economic Outlook

CGS International Securities (Thailand) predicts fluctuations in the SET Index, 
influenced by instability in the U.S. stock market. The index is projected to move
within a range of 1,155 to 1,180 points, driven by uncertainties surrounding U.S.
President Trump’s import and reciprocal tariff policies, with further updates expected
on April 3.

Thailand ranks 11th globally in trade surplus with the U.S. in 2024, increasing 
the potential impact on its manufacturing and consumption sectors. This scenario
has led to a revised 2025 GDP growth projection of 2.3%, down from 2.5%. The decline
in GDP growth projection reflects concerns over external trade dependencies and 
domestic economic adjustments. Analysts suggest that Thailand’s manufacturing sector
may face challenges in maintaining competitiveness, while consumption patterns could
shift due to changing economic dynamics. Policymakers are expected to focus on diversifying
trade partnerships and stimulating domestic demand to mitigate potential risks and
ensure sustainable growth.

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## Economic Measures and Investment Advice

The Bank of Thailand’s anticipated rate cut aligns with efforts to stimulate economic
growth amid persistent challenges. Analysts suggest that this move could enhance
liquidity and improve borrowing conditions for businesses and consumers. Meanwhile,
the Monetary Policy Committee’s upcoming meeting on April 30 is expected to shed
light on additional measures, including the cabinet’s electricity cost reduction
plan, which could further support household spending.

In the stock market, heightened volatility in the SET index has prompted CGSI to
recommend prioritizing defensive investment strategies. Investors are encouraged
to consider stocks with strong fundamentals and resilience to economic fluctuations.
Notably, GULF’s inclusion in the SET50 index and its trading resumption are key 
developments, signaling potential opportunities for growth-oriented investors.

For those seeking stability during uncertain times, CPALL and BDMS remain standout
options. CPALL benefits from its robust retail operations and adaptability to changing
consumer behaviors, while BDMS continues to demonstrate strength in the healthcare
sector, a domain with consistent demand. Both stocks are well-positioned to navigate
economic headwinds, making them attractive choices for long-term portfolios.