Thai stock investors urged to be careful

Investment analyst Tisco Economic Strategy Unit (Tisco ESU) has warned Thai investors to be careful and wait for the right moment to invest in stocks and bonds when prices are at an appropriate level. Komsorn Prakobphol, head of Tisco ESU, pointed out that the stock price rally over the past month reflected a much better economic outlook, and share valuations have risen to a high level. As a result, the Thai market is seen as having limited upside gains at the moment. He said that as liquidity tends to decline, there is an important risk factor that would put pressure on equity investments in the future. In addition, liquidity, which has played a role in boosting the market in recent times, is likely to decline in the future as the Federal Reserve is likely to further shrink its balance sheet.