Stocks in Asia edged higher as 15 economies in the region, including Thailand, signed a deal that formed the world’s largest free-trade alliance.
As of 9:15 on Monday, Nikkei jumped 1.48%, SEC gained 0.23%, HSI increased 0.21%, KOSPI advanced 1.40%. Meanwhile, the Australian stock market halted its trading session early this morning, citing “market data issues.”
On Sunday, November 16, 2020, ten ASEAN nations, and five other Asia-Pacific countries, signed the world’s biggest trade deal in terms of GDP in The Regional Comprehensive Economic Partnership (RCEP). The agreement is expected to drive economic growth by lowering tariffs, opening up the service sector and setting common trade rules within the region. The agreement covers trade, services, investment, e-commerce, telecommunications and copyright.
Finansia Syrus Securities expected SET Index to move higher within 1,340-1,360 points as the momentum remained positive, while fund inflows would continue to drive the region. The analyst expected today’s catalyst would be the positive sentiment from signing the RCEP, making the world’s biggest free-trade agreement, comprising 30% from world’s GDP.
The market forecasted Thai 3Q20 GDP to increase 3.9% QoQ and decrease 9.1% YoY.