Asian shares powered by tech rally, yen revives

Source: Bangkok Post

RECAP: Hong Kong led gains across most Asian and European markets on Friday thanks to a surge in tech giants, while the yen extended gains against the dollar on revived hopes for US interest rate cuts.

The SET index moved in a range of 1,352.84 and 1,372.85 points this week, before closing on Friday at 1,369.92, up 0.7% from the previous week, with daily turnover averaging 40.47 billion baht.

Institutional investors were net buyers of 1.3 billion baht, followed by brokerage firms at 26.03 million. Foreign investors were net sellers of 672.28 million baht, followed by retail investors at 649.96 million.

NEWSMAKERS: The US Federal Reserve on Wednesday left its benchmark interest rate unchanged as expected, citing a lack of progress towards a 2% inflation target. However, it ruled out a rate hike to rein in prices, and dismissed talk of stagflation.

COMING UP: On Tuesday, the Reserve Bank of Australia will announce its interest rate decision and the US will release a consumer credit update. China will report April trade figures on Wednesday. The Bank of England will hold a rate meeting on Thursday, and Japan will update household spending data. Due Friday is a Chinese inflation update and monthly GDP from the UK.

STOCKS TO WATCH: Yuanta Securities recommends accumulating stocks based on three themes: retail plays that will be major beneficiaries of economic stimulus, notably CPALL and BJC; food and beverage firms with a good export outlook given the weak baht: ICHI, SAPPE, OSP, CBG and COCOCO; hospital operators BDMS and BH as they are expected to outperform their industry.

TECHNICAL VIEW: Tisco Securities sees support at 1,350 points and resistance at 1,380. InnovestX Securities sees support at 1,350 and resistance at 1,380.