- USDTHB: moving in the range 34.16-34.18 this morning supportive level at 34.00 resistance level at 34.30
- SET Index: 1,395.6 (-1.72%), 17 Dec 2024
- S&P 500 Index: 6,050.6 (-0.39%), 17 Dec 2024
- Thai 10-year government bond yield (interpolated): 2.304 (-2.34 bps), 17 Dec 2024
- US 10-year treasury yield: 4.40 (+1.00 bps), 17 Dec 2024
- US retail sales boost driven by surge in motor vehicle purchases
- US industrial production unexpectedly falls due to mining and utilities
- German business sentiment drops in December due to ongoing weakness
- UK wage growth accelerates, heightening Bank of England concerns
- Japan's trade balance improves in November on strong exports
- Dollar stays strong ahead of Fed meeting; pound gains support
US retail sales boost driven by surge in motor vehicle purchases
US retail sales grew at a strong pace in November, driven by a surge in car purchases and robust online shopping, which offset weaker spending in other areas. On a monthly basis, retail sales rose 0.7%, following upward revisions for the previous two months. Excluding autos, sales increased a more modest 0.2% for the second consecutive month. Seven of the 13 categories in the report saw gains. Auto sales reached their highest level in over three years, fueled by lower interest rates and significant year-end discounts from dealerships. E-commerce sales rose 1.8%, as Black Friday and Cyber Monday promotions led to substantial sales.
US industrial production unexpectedly falls due to mining and utilities
US industrial production unexpectedly dropped 0.1% in November, marking a third straight monthly decline due to weaker utility and mining output. This followed a revised 0.4% drop in October, with a 0.3% increase expected. Utility output fell the most in four months, and mining saw its largest decline since May. Manufacturing rose 0.2%, driven by a 3.5% increase in motor vehicles and parts, but missed the forecasted 0.5%. Capacity utilization dropped to 76.8%, below the expected 77.3%, and 2.9 percentage points below its long-term average.
German business sentiment drops in December due to ongoing weakness
German business morale worsened more than expected in December, with the Ifo business climate index dropping to 84.7 amid geopolitical uncertainty and an industrial slump. However, a ZEW survey showed investors were more optimistic, hoping for a change in government.
UK wage growth accelerates, heightening Bank of England concerns
British wages increased more than expected in the three months to October, leading investors to reduce expectations for Bank of England rate cuts next year, despite signs of an economic slowdown. Average weekly earnings, excluding bonuses, rose 5.2% year-on-year, surpassing the 5.0% forecast.
Japan's trade balance improves in November on strong exports
Japan’s trade balance unexpectedly improved in November, with stronger exports to the U.S. and China and a weaker yen. Exports rose 3.8% year-on-year, above the expected 2.8% increase, driven by stronger demand, particularly from China. However, domestic demand remained weak, as imports fell 3.8%, contrary to expectations of a 1% rise.
Dollar stays strong ahead of Fed meeting; pound gains support
The 10-year government bond yield (interpolated) on the previous trading day was 2.304, -2.34 bps. The benchmark government bond yield (LB346A) was 2.26, -4.0 bps. Meantime, the latest closed US 10-year bond yields was 4.40, +1.00 bps. USDTHB on the previous trading day closed around 34.15, moving in a range of 34.16 – 34.18 this morning. USDTHB could be closed between 34.00 – 34.30 today. The US dollar saw slight gains on Tuesday, but showed little reaction to US retail sales data as traders awaited the FOMC rate decision. The euro weakened, but not as much as the other currencies, following mixed German data. The Japanese yen was one of the top performers against the US dollar, benefiting from the broader risk-off sentiment rather than any currency-specific factors. Meanwhile, the British pound also gained, supported by strong UK wage data.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
