- USDTHB : moving in the range 36.72-36.91 this morning, supporting level of USDTHB is around 36.78 resistance level is around 37.00
- SET Index: 1,546.3 (+0.45%), 21 Jul 2022
- S&P 500 Index: 3,999.0 (+0.98%), 21 Jul 2022
- Thai 10-year government bond yield (interpolated) : 2.70% (-1.70 bps), 21 Jul 2022
- US 10-year treasury yield: 2.91 (-13.00 bps), 21 Jul 2022
- US Jobless Claims Hit 8-Month High
- ECB Raises Rates by 50bps
- UK Consumer Confidence Stays at Record Low
- US Stock dropped; Euro set for best week after a big hike
US Jobless Claims Hit 8-Month High The number of Americans filing new claims for unemployment benefits jumped by 9 thousand to 251,000 the week that ended July 16th, the highest since November 2021 and well above market expectations of 240,000, pointing a cooler labor market. On a non-seasonally adjusted basis, initial claims rose by 7,853 from the prior week to 248,991, with notable increases in Massachusetts of +14,136, California of +3,815, and South Carolina of +2,992. The 4-week moving average, which removes week-to-week volatility, was at 240,500, an increase of 4,500 from the previous week's upwardly revised average of 236,000.
ECB Raises Rates by 50bps The ECB raised its 3 key interest rates by 50bps during its July 2022 meeting, the first increase since 2011, ending eight years of negative rates with an attempt to release the inflationary pressures. The main refinancing rate is now at 0.5%, the marginal lending facility at 0.75% and the deposit facility one at 0.00%. The central bank had initially committed to a 25bps rate hike in the June meeting, but inflationary risks continue on the upside and policymakers considered appropriate to take a larger first step. Inflation in the Euro Area continues to march higher and break record rates, showing no signs of peaking, and approaching double-digits. The central bank also said that further normalization of interest rates will be appropriate in the upcoming meetings. At the same time, the Transmission Protection Instrument (TPI) was approved, aiming to stabilize the bond market. The scale of TPI purchases depends on the severity of the risks and are not restricted ex ante.
UK Consumer Confidence Stays at Record Low The GfK Consumer Confidence indicator in the United Kingdom held steady at -41 in July 2022, remaining at a record low as runaway inflation and economic uncertainties continued to dampen sentiment. Joe Staton, client strategy director at GfK, said: “Consumer confidence remains severely depressed this month as the impact of soaring food and fuel prices and rising interest rates continues to darken the financial mood of the nation.” UK inflation surged 9.4% in June from a year ago, accelerating at the fastest pace in four decades. Low confidence levels have historically been associated with economic recessions, with analysts predicting higher likelihood of an economic slowdown later this year.
US Stock dropped; Euro set for best week after a big hike The 10-year government bond yield (interpolated) on the previous trading day was 2.70, -1.70 bps. The benchmark government bond yield (LB31DA) was 2.62, -2.00 bps. LB31DA could be between 2.58-2.67. Meantime, the latest closed US 10-year bond yields was 2.91, -13.00 bps. USDTHB on the previous trading day closed around 36.78 Moving in a range of 36.72-36.91 this morning. USDTHB could be closed between 36.78-37.00 today. US stock futures dropped in Asian trade on Friday as investors digested more corporate earnings reports. The euro headed for its best week since May on Friday after the European Central Bank (ECB) raised borrowing costs more than expected overnight in its first rate hike since 2011.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
