- USDTHB : moving in the range 34.45 – 34.50 this morning, supporting level of USDTHB is around 34.30 resistance level is around 34.60
- SET Index: 1,606.0 (-0.89%), 19 May 2022
- S&P 500 Index: 3,900.8 (-0.58%), 19 May 2022
- Thai 10-year government bond yield (interpolated) : 3.14% (-20.00 bps), 19 May 2022
- US 10-year treasury yield: 2.84 (-5.00bps), 19 May 2022
- U.S. existing home sales fall for third straight month; house prices at record high
- U.S. labor market in spotlight as weekly jobless claims hit 4-month high
- China Banks Cut Key Rate by Record to Boost Ailing Economy
- Euro Racks up Gains Against Dollar as ECB Liftoff Expectations Gather Pace
U.S. existing home sales fall for third straight month; house prices at record high
U.S. existing home sales dropped to the lowest level in nearly two years in April as house prices jumped to a record high amid a persistent lack of inventory. Existing home sales fell 2.4% to a seasonally adjusted annual rate of 5.61 million units last month, the lowest level since June 2020 when sales were rebounding from the COVID-19 lockdown slump. It was the third straight monthly sales decline. The 30-year fixed-rate mortgage averaged 5.30% during the week ended May 12, the highest since July 2009. The median existing house price shot up 14.8% from a year earlier to an all-time $391,200 in April. The median house price surged 22% in the South, which had seen a rapid rise in sales as Americans moved from other regions.
U.S. labor market in spotlight as weekly jobless claims hit 4-month high
The number of Americans filing new claims for unemployment benefits unexpectedly rose last week, reaching a four month-high and potentially hinting at some cooling in demand for workers amid tightening financial conditions. Initial claims for state unemployment benefits increased 21,000 to a seasonally adjusted 218,000 for the week ended May 14, the highest level since January. However, the labor market remains tight as the report from the Labor Department on Thursday also showed the ranks of the unemployed were the smallest in almost 52-1/2 years in early May.
China Banks Cut Key Rate by Record to Boost Ailing Economy
Chinese banks cut a key interest rate for long-term loans by a record amount, a move that would reduce mortgage costs and may boost weak loan demand amid a property slump and Covid lockdowns. The five-year loan prime rate, a reference for home mortgages, was lowered to 4.45% from 4.6%, down by the most since a revamp of the rate in 2019, according to a statement by the People’s Bank of China Friday. The cut comes after the PBOC earlier reduced the floor on the rate for new mortgages Sunday in an attempt to spur demand for new loans, which dropped in April.
Euro Racks up Gains Against Dollar as ECB Liftoff Expectations Gather Pace
The 10-year government bond yield (interpolated) on the previous trading day was 3.14, +20.00 bps. The benchmark government bond yield (LB31DA) was 3.10, -10.00 bps. LB31DA could be between 3.00-3.14. Meantime, the latest closed US 10-year bond yields was 2.84%, -5.00bps. USDTHB on the previous trading day closed around 34.63 Moving in a range from 34.45-34.50 this morning. USDTHB could be closed between 34.40-34.60 today. The euro surged against the dollar Thursday as the release of the account of the European Central Bank’s April meeting showed concern over inflation had tipped dovish members of the central bank into supporting a quarter percentage point rate hike as soon as July.
