- USDTHB: moving in the range 35.67-35.70 this morning supportive level at 35.50 resistance level at 35.75
· SET Index: 1,527.6 (-0.94%), 18 Sep 2023
· S&P 500 Index: 4,453.5 (-1.15%), 18 Sep 2023
· Thai 10-year government bond yield (interpolated): 3.02 (+2.67 bps), 18 Sep 2023
· US 10-year treasury yield: 4.32 (-1.00 bps), 18 Sep 2023
- US Treasury Yields Rise on Robust Economic Data, Ahead of Federal Reserve’s Policy Decision
- German home building permits plunge as industry calls for stimulus
- Singapore's Aug exports fall 20% y/y, more than forecast
- Dollar eases as traders eye upcoming central bank decisions
US Treasury Yields Rise on Robust Economic Data, Ahead of Federal Reserve’s Policy Decision U.S. Treasury yields rose on Monday, powered by strong economic data from the previous week and anticipation for the Federal Reserve's policy decision due this Wednesday. The recent economic indicators, such as firm inflation readings, solid retail sales, and rising oil prices, have pushed the 10-year Treasury yield towards its highest levels since the financial crisis of 2007-2008. The market is almost completely factoring in that the Federal Reserve will keep interest rates within the 5.25%-5.50% range this Wednesday, according to the CME FedWatch Tool. However, the odds of a rate hike of 25 basis points to a range of 5.50%-5.75% at the subsequent meeting in November are currently pegged at just 28.7%.
German home building permits plunge as industry calls for stimulus Building permits for apartments in Germany fell 31.5% in July from a year earlier, highlighting a slump in demand plaguing the construction and real estate industry. The nosedive in permits comes amid calls from firms for stimulus from Berlin to support the industry ahead of a meeting next week with Chancellor Olaf Scholz. The statistics office attributed the decline in demand to high building costs and difficulties in getting financing, factors that have deepened stress across the broader sector. Authorities granted permits for the building of 21,000 apartments in July, 9,600 fewer than a year earlier. Permits were down 28% for the first seven months of the year. Germany aims to build 400,000 apartments a year but has struggled to meet the goal.
Singapore's Aug exports fall 20% y/y, more than forecast Singapore's non-oil domestic exports (NODX) fell 20.1% year-on-year in August, as both electronics and non-electronics exports to the United States, Europe and China declined. The decline compared with a Reuters poll forecast of a 15.8% contraction and continued the 20.3% contraction seen in July. On a seasonally adjusted month-on-month basis, NODX decreased 3.8%, Enterprise Singapore data showed, versus the prior month's 3.5% decline. Economists had forecast 5.5% growth. Last month, Singapore narrowed its economic growth forecast to 0.5% to 1.5% this year from 0.5% to 2.5%, after it narrowly averted a recession in the second quarter when its economy expanded a seasonally-adjusted 0.1%.
Dollar eases as traders eye upcoming central bank decisions The 10-year government bond yield (interpolated) on the previous trading day was 3.02, +2.67 bps. The benchmark government bond yield (LB31DA) was 2.99, +3.00 bps. Meantime, the latest closed US 10-year bond yields was 4.32, -1.00 bps. USDTHB on the previous trading day closed around 35.68. Moving in a range of 35.67-35.70 this morning. USDTHB could be closed between 35.50-35.75 today. The U.S. dollar eased against a basket of currencies on Monday but remained near a six-month high in muted trading as traders awaited interest rate decisions this week by the Federal Reserve, Bank of England and Bank of Japan. The U.S. dollar index was down 0.1% at 105.15, not far from the six-month high of 105.43 touched on Thursday. The index rose for its ninth straight week last week, its longest winning streak in nearly a decade. U.S. Treasury Secretary Janet Yellen said on Monday she saw no signs the U.S. economy is entering a downturn. Resilient U.S. growth has fueled a rebound in the dollar in recent weeks though the rally will likely be tested by a gauntlet of data and Wednesday's Fed interest rate decision.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
