• US stocks climbed last Friday after Labor Department reported hiring grew at a stronger pace than a consensus forecast, a sign the economic recovery gained traction.
• WTI however plunged by roughly 4% after Saudi Arabia's deputy crown prince Mohammed bin Salman said no break on oil production unless Iran and others agree to join in. The comment has signaled difficulty of a potential accord among oil producers who will meet to discuss the production freeze in Doha on April 17.
• In Thailand, the SET index last Friday still held above 1400 points. Proprietary accounts’ cumulative buying about Bt14,858mn in year to date, and with their short-term trading behavior, profit taking is very likely in a lack of fresh catalyst. Meanwhile, energy stocks are likely to come under pressure following the reduction in global oil price, while the XD trading of big-cap stocks e.g., SCC, INTUCH and BIGC would drag the index by two points. Under the circumstances, the index is likely to trade choppy into the downside within a range of 1380, 1390-1405 points.
• For short-term strategy, we would look to buy the pullback focusing on stocks that would benefit from the government’s tax incentives measures between April 9 and 18. Note to keep equities at 60% of investment portfolio with the key investment theme:
(1) Tourism recovery play: We recommend holding onto shares of AOT and MINT as the likely beneficiaries of the festive tourist season and the government’s short-term stimulus measures.
Source: poems.in.th / settrade.com
