The Stock Exchange of Thailand (SET) reveals Thailand’s main index, the SET Index, today opened up at 1208, the highest level in 15 years and eight months since July 11, 1996, supported by the strong fundamentals of the Thai market.
The index increase indicated the continuing strong recovery of Thai listed companies although they faced many negative factors lately. Listed firms have shown promising performances, with an annual average 16 percent profit growth since 2009 and an annual 17 percent growth of dividend payment since 2008, resulting in Thai market’s dividend yield of 3.73 percent at the end of February, making it Asia’s second-highest dividend yield.
In addition, the FTSE Group upgrade of the Thai capital market to Advanced Emerging Market effective in March, clear signs of an US economic recovery, and easing concerns of the Europe debt crisis were also key factors to build confidence of both domestic and foreign investors, boosting foreign net buying to THB 73.64 billion (approx. USD 2.4 billion) so far this year. Investors should continue to closely monitor the situation and evaluate analyses from various parties for trends and factors to consider.