- USDTHB: moving in the range 38.095-38.18 this morning, supportive level at 37.90 resistance level at 38.20
· SET Index: 1,562.7 (-0.50), 11 Oct 2022
· S&P 500 Index: 3,588.8 (-0.65%), 11 Oct 2022
· Thai 10-year government bond yield (interpolated): 3.20 (+6.45 bps), 11 Oct 2022
· US 10-year treasury yield: 3.93 (+4.00 bps), 11 Oct 2022
- US inflation expectations lowest in a year
- UK labor market exodus drives jobless rate down to 3.5%
- Japan logs record-low August current account surplus as import prices surge
- Japanese yen slides past 146 level, more intervention awaited
US inflation expectations lowest in a year US consumer inflation expectations for the year ahead extended the decline for a third consecutive month to 5.4% in September of 2022, the lowest in a year, from 5.7% in August. Median home price growth expectations declined by 0.1 percentage point to 2.0, its lowest reading since June 2020 and cost of medical care is also seen slowing (-0.1 percentage point to 9.2%). On the other hand, consumers expect prices to rise faster for gas (+0.4 percentage point to 0.5%), food (+1 percentage point to 6.9%), college education (+0.6 percentage point to 9.0%) and rent (+0.1 percentage point to 9.7%). Meanwhile, three-year-ahead inflation expectations rose slightly to 2.9% from 2.8% in August. On the labor front, expectations for earnings growth fell by 0.1 percentage point to 2.9% and unemployment expectations also fell by 0.9 percentage point to 39.1%. Also, household spending is seen rising 6%, well below 7.8% in August, and the biggest drop since the series’ inception in June 2013
UK labor market exodus drives jobless rate down to 3.5% Britain reported a record jump in the number of people leaving the labor market in the three months to August, adding to the Bank of England’s inflation headaches. The number of people neither in work nor looking for it rose by 252,000 from the three months to May, the biggest increase since records began in 1971, official data showed. The leap pushed the unemployment rate down to its lowest since 1974 at 3.5%, below a median forecast of 3.6% in a Reuters poll of economists but offering little comfort for the BoE. It is worried that Britain’s shrinking labor market will fuel inflation pressures that are also likely to fanned by Prime Minister Liz Truss’s unfunded tax cuts.
Japan logs record-low August current account surplus as import prices surge Japan's current account surplus shrank to its smallest amount on record for the month of August, Ministry of Finance data showed on Tuesday, with surging prices of energy imports outstripping price rises in exports and draining national wealth. The surplus stood at 58.9 billion yen ($404.45 million), smaller than economists' median forecast of 121.8 billion yen in a Reuters poll. On a seasonally adjusted basis, the account was in a deficit for a second month, at 530.5 billion yen. Continual trade surplus in the past and growing overseas investment means Japan has never recorded a current account deficit on an annual basis. But a worsening trade balance has left the surplus shrinking for four consecutive fiscal years.
Japanese yen slides past 146 level, more intervention awaited The 10-year government bond yield (interpolated) on the previous trading day was 3.20, +6.45 bps. The benchmark government bond yield (LB31DA) was 3.03, +7.0 bps. LB31DA could be between 2.95-3.20. Meantime, the latest closed US 10-year bond yields was 3.93, +4.00 bps. USDTHB on the previous trading day closed around 38.12 Moving in a range of 38.095-38.18 this morning. USDTHB could be closed between 38.20-38.50 today. The Japanese yen hit a new 24-year low to the dollar on Wednesday, ramping up expectations of more currency market intervention by Tokyo to support the beleaguered currency against increased pressure from the dollar. The yen sank 0.3% to 146.32 against the dollar, its weakest level since the Asian financial crisis in the late-1990’s. It also surpassed levels which had pushed the Japanese government into intervening in currency markets last month.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
