- USDTHB: moving in the range 34.89-34.975 this morning supportive level at 34.75 resistance level at 35.10
- SET Index: 1,074.6 (-4.6%), 8 Apr 2025
- S&P 500 Index: 4,982.8 (-1.6%), 8 Apr 2025
- Thai 10-year government bond yield (interpolated): 1.914 (+4.33 bps), 8 Apr 2025
- US 10-year treasury yield: 4.26 (+11.0 bps), 8 Apr 2025
- US sets up tariff discussions but plans a 104% tariff on China
- US small-business optimism declines by most since mid-2022
- Fed’s Daly says policy Is in good place during trade uncertainty
- The dollar faced pressure as the White House imposed new tariffs on China
US sets up tariff discussions but plans a 104% tariff on China
The White House Press Secretary announced that new tariffs on China will be implemented starting on April 9th, with China facing a 104% tariff due to their failure to meet the deadline for removing their reciprocal 34% tariffs on the US. Many officials have revealed that approximately 70 countries have reached out to the US for trade discussions, but USTR's Greer emphasized that President Trump has made it clear that tariff exemptions are not expected in the near future. With reciprocal tariffs about to take effect and numerous countries seeking talks, the current outlook suggests that the tariffs will be implemented as scheduled, followed by ongoing negotiations in the coming months. Treasury Secretary Bessent stated that April and May will be busy, possibly extending into June. Additionally, while tariffs have been the main focus, officials continue to highlight the importance of addressing non-tariff barriers. Regarding trade talks, the US has prioritized discussions with Japan and South Korea.
US small-business optimism declines by most since mid-2022
US small-business optimism fell sharply last month, the biggest drop since June 2022, due to concerns over business conditions and sales following the Trump administration’s tariff policies. The National Federation of Independent Business optimism index dropped 3.3 points to 97.4 in March, with seven of ten components weakening. Expectations for better business conditions over the next six months plunged 16 percentage points, while the forecast for higher sales dropped 11 points. Labor quality and taxes were the top concerns, with 19% of owners citing labor quality and 18% pointing to taxes, the highest since November 2021.
Fed’s Daly says policy Is in good place during trade uncertainty
Mary Daly, President of the Federal Reserve Bank of San Francisco, stated that the US central bank can afford to wait before adjusting interest rates, as it monitors the effects of changes in trade policy. She also mentioned that the central bank needs to evaluate the overall impact of the administration's policies on trade, taxes, and regulations to better understand the future direction of the US economy.
The dollar faced pressure as the White House imposed new tariffs on China
The 10-year government bond yield (interpolated) on the previous trading day was 1.914, +4.33 bps. The benchmark government bond yield (LB353A) was 1.92, +5.0 bps. Meantime, the latest closed US 10-year bond yields was 4.26, +11.0 bps. USDTHB on the previous trading day closed around 34.66, moving in a range of 34.89 – 34.975 this morning. USDTHB could be closed between 34.75 – 35.10 today. The dollar weakened early in the session as risk sentiment initially rebounded, leading to gains in equities and all G10 currencies. However, sentiment later soured due to concerns over China tariffs, especially after the White House confirmed that 104% tariffs on China would take effect on April 9th. Additionally, there was no major US economic data released, and the only notable events were speeches from Fed officials Goolsbee and Daly, but they offered little new information. The euro gained from the dollar's weakness but pulled back from its highest levels after reaching just below the 1.1000 mark. Despite a number of ECB officials speaking, their comments had little impact on the market. The Japanese yen strengthened, causing USD/JPY to briefly dip below the 146.00 level, driven by the dollar's weakness and the yen's safe-haven appeal.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
