- USDTHB: moving in the range 36.16-36.30 this morning, supporting level of USDTHB is around 36.20 resistance level is around 36.25
- SET Index: 1,589.2 (-0.26%), 2 Aug 2022
- S&P 500 Index: 4,091.2 (-0.67%), 2 Aug 2022
- Thai 10-year government bond yield (interpolated): 2.49 (-1.71 bps), 2 Aug 2022
- US 10-year treasury yield: 2.75 (+15.00 bps), 2 Aug 2022
- U.S. manufacturing slows modestly; excess inventories a major concern
- U.S. Job Openings Fell to Lowest in 9 Months as Labor Market Cooled
- China Private Sector Growth Stays Robust
- RBA interest rates: Reserve Bank lifts official cash rate by 50 basis points to 1.85%
- US Futures Mixed as Fed, Earnings Weigh
U.S. manufacturing slows modestly; excess inventories a major concern The July Manufacturing PMI registered 52.8 percent, down 0.2 percentage point from the reading of 53 percent in June, but better than expected. This PMI figure indicates expansion in the overall economy for the 26th month in a row but being the lowest figure since June 2020. Regarding its sub-index’s readings, New Orders and Employment contracting; Production and Backlogs growing; Supplier Deliveries declining at a slower rate; Raw Materials Inventories growing; Prices Increasing at a slower pace. The major concern is however that businesses are being with excessive inventories amid softening demand, after huge restocking previously due to worries about material shortages.
U.S. Job Openings Fell to Lowest in 9 Months as Labor Market Cooled The nationwide number of open positions fell to 10.698 million in June from an upwardly revised 11.303 million in May, being the lowest level since September. While that's still a high number, it's down clearly from a record high of 11.855 million in March and was well short of the 11.000 million expected by analysts ahead of time. This suggests that the labor market was cooling significantly even before a raft of corporate hiring freezes or slowdowns announced over recent weeks. The scale of the Job openings’ decline is surprising in the light of June's employment report, which still showed job growth at a historically high rate.
China Private Sector Growth Stays Robust The Caixin China General Services PMI fell to 54.0 in July 2022 from June's 18-month peak of 55.3. Still, the latest result signaled a solid expansion in the private sector, with services activity rising faster amid a marked slowdown in manufacturing expansion. New order growth accelerated slightly, while quicker falls in employment across both manufacturing and service sectors led to the fastest drop in composite employment in 17 months. Prices data pointed to the softest rise in overall input costs for just over two years, while output charges fell slightly amid price discounting at manufacturers.
RBA interest rates: Reserve Bank lifts official cash rate by 50 basis points to 1.85% The Reserve Bank of Australia has lifted its key interest rate for a fourth straight month, hoisting the cash rate by 50 basis points to 1.85% in its fastest tightening action in almost 30 years to quell inflation. Consumer price inflation was forecasted to peak at 7.75% by December and will not drop back into the RBA’s target range of 2% to 3% until the year ending in June 2024. The RBA also trimmed its GDP growth forecast to 3.25% in 2022 compared with the 4.25% it predicted. Meantime, GDP growth in 2023 and 2024 is now expected to come in at 1.75%, lower than previous forecast.
US Futures Mixed as Fed, Earnings Weigh The 10-year government bond yield (interpolated) on the previous trading day was 2.49, -1.71 bps. The benchmark government bond yield (LB31DA) was 2.42, -3.00 bps. LB31DA could be between 2.37-2.45. Meantime, the latest closed US 10-year bond yields was 2.75, +15.00 bps. USDTHB on the previous trading day closed around 36.09 Moving in a range of 36.16-36.30 this morning. USDTHB could be closed between 36.20-36.25 today. US stock futures were mixed on Wednesday as investors digested the latest commentary from Federal Reserve policymakers and mixed earnings reports from major companies.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
