Daily Strategy: FSS Expects Slight Impact from Fed Tapering, Positive on Covid Situation

Finansia Syrus Securities expected a slight pullback from Fed's asset tapering, but still maintained a positive outlook on the Covid-19 situation.

Stocks in Asia traded in a mixed session on Friday as investors are looking ahead to the Fed’s symposium later today to see the signal for asset tapering.


As of 9:42 local time in Thailand on August 27, 2021, Nikkei fell 0.33%, SSEC rose 0.64%, HSI gained 0.83%, ASX 200 slipped 0.03% and IDX increased less than 0.1%.

Yesterday, SET Index closed at 1,601.91 points, increased 1.42 points or 0.09% with a trading value of 80.9 billion baht.


Mr. Kantara Ladawan na Ayutthaya, executive director of Finansia Syrus Securities (FSS), stated through “Kaohoon Jor Talad TV Program” on August 27 that the movement in Thai stock market will be mild as investors are waiting to see the decision of CCSA on lockdown measures and the Fed’s symposium later today.

Mr. Ladawan said that according to the historical data, stocks will receive the impact on the day that the Fed gave a firm signal of tapering in which SET Index could slow down by 10-20 points on the announcement, coupled with a series of gains in the past few days. However, the lockdown easing and the report of importing more vaccines could send positive sentiment to the Thai stock market as well.

More importantly, Mr. Ladawan pointed out that the latest Monetary Policy had a minority vote for a further rate cut, which the analyst from FSS expected could be another factor to support SET Index.

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