An analyst at Asia Plus Securities noted that the last time foreign investors had made net sales of Thai stocks for 27 consecutive days – totalling 23 billion baht – was 30 years ago, in 1994, ahead of the Asian financial crisis triggered by the collapse of the baht.
It was followed by sell-offs for 26 consecutive days during the US sub-prime mortgage crisis. The economic crisis between 2007 and 2010, triggered by the collapse of the US housing bubble and high interest rates, led to unprecedented numbers of borrowers missing mortgage repayments.
The other crises that triggered foreign investors’ mass sell-offs of Thai shares were the dot-com bust, US-China trade war, Black May and the Covid-19 pandemic, the analyst added.
