Thailand's bourse is expected to remain a bull market for 1-2 years, with the benchmark index projected to reach 1,700 points by the end of 2026, assuming economic and political fundamentals remain stable, says the Federation of Thai Capital Market Organizations (Fetco).Fetco chairman Paiboon Nalinthrangkurn said Thai equities have rebounded strongly this year, outperforming many global markets as the country benefits from investment related to artificial intelligence (AI) and the relocation of global manufacturing supply chains.
"We expect the Stock Exchange of Thailand [SET] to remain a bull market for 1-2 years if the underlying fundamentals remain intact," he said.
Fetco recently lifted its SET index estimate to 1,700 points from 1,500 points, citing the government's recent measures and initiatives.
According to Mr Paiboon, there are four drivers behind the positive outlook. First, the global economy remains resilient despite geopolitical tensions, inflation and elevated interest rates. Meanwhile, Thailand continues to attract foreign direct investment as multinational companies diversify their supply chains.
Thailand's geopolitical neutrality, improving political stability and business environment have made the country an attractive manufacturing hub, he noted.
