Thailand Story Narrative Eyes SET Recovery After April as Capital Outflows Slow
Thailand's stock market rose 3% in April as foreign fund outflows slowed, with the SET index up 20% year-to-date, buoyed by government stimulus measures and easing geopolitical concerns.
The Stock Exchange of Thailand revealed that the SET index rose approximately 3% in April compared to March, continuing its recovery with a year-to-date gain of 20%, ranking fourth among Asian markets after Taiwan, South Korea, and Japan. Deputy Manager Saraphon Tulyasetheeyar of the SET noted that April trading volume averaged 65 billion baht daily, relatively stable from March, while foreign fund outflows slowed to only billions of baht compared to significant March losses. The market shows emerging momentum from what officials call the 'Thailand Story'—a combination of government measures addressing cost of living, economic stimulus, energy restructuring, and the Land Bridge project that are easing investor concerns.
Market conditions in April reflected less panic about geopolitical tensions than in March. Saraphon stated that investors are adapting to current conditions, with both US and Thai interest rates likely remaining stable through year-end. Positive economic indicators include rising exports, 11 million tourists in four months, Moody's maintaining Thailand's credit rating at stable outlook, and improved domestic economic figures, suggesting relative stability for the next six months.
April 2025 Thai Stock Market Performance: – SET Index closed at 1,493.69 points, up 3.15% from March and 18.58% from end-2024 – Best-performing sectors: Technology, Industrial Products, and Resources – Average daily trading value for SET and mai: 58.69 billion baht, up 48.88% year-over-year; first four months of 2025 averaged 63.65 billion baht, up 51.45% – Foreign investors posted net sales of 2.51 billion baht; however, year-to-date net purchases reached 16.64 billion baht – Foreign investors maintained 54.43% of total trading value, followed by retail domestic investors (31.68%), institutional investors (7.53%), and brokerage firms (6.37%) – One new listing: Uniplastic Industries (UNIX) – Forward P/E: 15.16x (higher than Asian average of 12.96x); Historical P/E: 17.05x (lower than Asian average of 17.31x) – Dividend yield: 4.42% (higher than Asian average of 2.76%)
