Asian equity markets ended the week with small but notable gains as investor sentiment improved amid renewed optimism over international trade discussions. The movement, though relatively muted, reflects growing expectations that ongoing dialogue between major economies may yield positive outcomes, especially regarding tariffs and cross-border commerce.
The Thai stock market stood out with its moderate recovery, as the Stock Exchange of Thailand (SET) index fluctuated within a range of 1,120.72 to 1,153.20 throughout the week. On Friday, the index closed at 1,150.95, up 2% compared to the prior week. This performance highlights cautious investor confidence amidst a broader global financial environment characterized by uncertainty and careful positioning.
During the shortened trading week—impacted by the Good Friday holiday which saw several markets closed—the average daily trading turnover on the Thai bourse reached 31.59 billion baht. Institutional investors took a leading role in market activity with net purchases totaling 1.24 billion baht. Foreign investors also returned as net buyers, acquiring shares worth 432.25 million baht. In contrast, retail investors and brokerage firms ended the week as net sellers, divesting 637.37 million baht and 1.03 billion baht in equities, respectively.
These patterns reveal a cautious but deliberate rotation of capital among market participants. Institutional and foreign investors seem to be positioning for potential market upswings, while retail and local brokerage houses appear more defensive in their strategies, possibly due to lingering macroeconomic concerns.
Globally, hopes for progress in trade discussions have contributed to improved sentiment in equity markets. Analysts are paying close attention to upcoming economic data releases and diplomatic developments, which could serve as catalysts for larger market movements. The restrained yet positive trend reflects a general sense of cautious optimism rather than a full-scale return of risk appetite.
The slight gains seen in regional stock markets underscore a market environment that remains in flux. While optimism over trade discussions is a welcome change from past tensions, the lack of clarity on concrete policy outcomes continues to limit investor enthusiasm. Thin trading volumes and defensive selling by retail investors highlight the fragile nature of this recovery.
Moving forward, more definitive progress in trade policies, coupled with clearer global economic signals, will be necessary to sustain upward momentum. Until then, markets are likely to oscillate between cautious optimism and defensive positioning, reflecting a measured approach by stakeholders navigating uncertain times.