- USDTHB: moving in the range 34.89-35.01 this morning supportive level at 34.80 resistance level at 35.00
· SET Index: 1,576.7 (+0.50%), 30 Aug 2023
· S&P 500 Index: 4,514.9 (+0.38%), 30 Aug 2023
· Thai 10-year government bond yield (interpolated): 2.78 (-0.13 bps), 30 Aug 2023
· US 10-year treasury yield: 4.12 (+0.00 bps), 30 Aug 2023
- US economic growth trimmed on inventories; retains underlying momentum
- German inflation eases slightly in August
- China manufacturing PMI inches closer to expansion in August
- Dollar falls to two-week low as economic data softens
US economic growth trimmed on inventories; retains underlying momentum The U.S. economy grew at a slightly less brisk pace than initially thought in the second quarter as businesses liquidated inventory, but momentum appears to have picked up early this quarter as a tight labor market underpins consumer spending. Gross domestic product increased at a 2.1% annualized rate last quarter, the government said in its second estimate of GDP for the April-June period. That was revised down from the 2.4% pace reported last month. Economists polled by Reuters had expected GDP for the second quarter would be unrevised. Inventory investment was sharply revised down to show it declining at a $1.8 billion pace instead of increasing at the previously reported $9.3 billion rate. Inventories were a small drag to GDP growth rather than adding 0.14 percentage point as estimated last month.
German inflation eases slightly in August German inflation fell only slightly in August, data showed on Wednesday, but economists expect the downward trend in headline inflation to gain pace in the coming months. Consumer prices, harmonized to compare with other European Union countries, increased by 6.4% on the year this month, according to preliminary data from the federal statistics office. Analysts polled by Reuters had forecast harmonized annual inflation of 6.3% after a reading of 6.5% in July. The data from Germany, the euro zone's biggest economy, comes as the European Central Bank is still looking for evidence that underlying inflation has turned a corner. Germany's core inflation rate, which excludes volatile items such as food and energy, was 5.5% in August, unchanged from July.
China manufacturing PMI inches closer to expansion in August Chinese manufacturing activity shrank at a slower-than-expected pace in August, as recent stimulus measures from the government appeared to be bearing some fruit in supporting economic activity. The official manufacturing purchasing managers’ index (PMI) read 49.7 in August, data from the National Bureau of Statistics showed. The reading was more than expectations of 49.5, as well as last month’s reading of 49.3. A reading below 50 indicates contraction, with manufacturing activity having now contracted for a fifth consecutive month. But August’s reading showed that activity in the sector was improving, albeit slightly. Weakness in the manufacturing sector was driven chiefly by slowing local and overseas demand this year, as economic conditions in China’s biggest trading partners worsened. This was exacerbated by a growing trade tiff with the U.S., as Washington seeks to block China’s access to the latest chipmaking technology.
Dollar falls to two-week low as economic data softens The 10-year government bond yield (interpolated) on the previous trading day was 2.78, -0.13 bps. The benchmark government bond yield (LB31DA) was 2.78, +-1.00 bps. Meantime, the latest closed US 10-year bond yields was 4.12, +0.00 bps. USDTHB on the previous trading day closed around 35.09. Moving in a range of 34.89-35.01 this morning. USDTHB could be closed between 34.80-35.00 today. The dollar dropped to a two-week low against the euro and a basket of currencies after data showed that U.S. private payrolls rose less than expected in August, adding to expectations that the Federal Reserve would stop raising interest rates. Softening data this week has raised bets that the U.S. central bank has concluded its tightening cycle. It follows a brief increase in expectations for a November rate hike after relatively hawkish comments by Fed Chairman Jerome Powell on Friday. This Friday’s jobs report for August will be closely watched for further confirmation that the tightness in the labor market is ebbing as interest rates remain relatively high. Friday’s jobs data is expected to show that employers added 170,000 jobs in August, according to the median estimate of economists polled by Reuters. Private payrolls rose by 177,000 jobs last month, the ADP National Employment report showed
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
