BANGKOK (Reuters – Investor confidence was down to a 6-month low in Thailand’s stock exchange over the following three months due to worries about Federal Reserve tightening plans, and a slowing economy. A capital market group stated Monday.

According to FETCO’s January survey, its investor confidence index fell from 129.53 in the month prior.

The federation stated that foreign investors lost confidence in the zone where they were most vulnerable to international conflict, and moved into the “bearish” zone.

Paiboon Nalinthrangkurn, chairman of the federation, stated that foreign funds inflows will continue to be optimistic about a recovery in tourism.

He stated that the Thai market was regarded as a “safe haven” due to global market volatility.

After selling 49 billion baht in 2021, foreign investors purchased approximately 40 billion baht ($1.21 trillion) worth of Thai shares.

Paiboon indicated that the main index could rise to 1,800 points during the second half from 1,675 points Monday.

Recently, the finance minister forecast that Southeast Asia’s second largest economy will grow 4% in 2018, after an estimated 1.2% growth for 2021. This was as Thailand had resumed its tourist quarantine waiver.

($1 = 33.00 baht)