Yuanta Securities (Thailand) reported that foreign investors continued to aggressively sell Thai stocks on a net basis, with net selling rising by another 10.735 billion baht, bringing cumulative net selling over the past 7 days to 30.573 billion baht and reducing cumulative net buying since the start of the year to 25.110 billion baht. However, Yuanta assessed that the selling pressure from foreign investors may begin to slow, after NVDR trading data reflected that foreign investors had already substantially reduced their weighting in commercial banks and the energy sector, the main groups that foreign investors had accumulated earlier. At the same time, the baht began to slow its depreciation, and foreign investors' selling of Thai bonds during the morning session declined significantly, which may help ease pressure from capital outflows. As for the direction of the Thai stock market, Yuanta assessed, based on fund flows referencing the movement of ETFs investing in the Thai stock market tracking the MSCI Thailand index, that the SET index has a chance of weakening by another approximately 0.5 to 1.0 percent before having a chance to recover significantly.
Foreign investors sold Thai stocks and bonds heavily, pressuring the baht, though the article notes the baht's depreciation is slowing as outflows ease.
