- USDTHB: moving in the range 36.565-36.61 this morning supportive level at 36.40 resistance level at 36.70
· SET Index: 1,316.7 (+0.79%), 24 June 2024
· S&P 500 Index: 5,447.9 (-0.31%), 24 June 2024
· Thai 10-year government bond yield (interpolated): 2.69 (-1.34 bps), 24 June 2024
· US 10-year treasury yield: 4.25 (+0.00 bps), 24 June 2024
- Fed should not take preemptive action if it is not needed, says Fed's Daly
- German business sentiment unexpectedly darkens in June
- Japan's business-to-business service inflation hits 2.5% in May
- US dollar dips from 8-week high amid month-end
Fed should not take preemptive action if it is not needed, says Fed's Daly
According to Fed's Daly, The Fed has made a lot of progress on inflation but there remains more to be done. While inflation is a concern, they are approaching a juncture where favorable outcomes in the labor market may become less likely. Additionally, in her statement, she noted that if inflation declines more gradually than anticipated, interest rates will need to remain elevated for a longer period. Conversely, she indicated that a swift decrease in inflation or unexpected softening in the labor market would necessitate reducing the policy rate. Overall, Daly's remarks maintained a consistent tone with recent Fed speak, with market attention now turning to Friday's core PCE data.
German business sentiment unexpectedly darkens in June
German business morale unexpectedly fell in June amid increasing pessimism about the performance of Europe's largest economy, a survey of around 9,000 managers. According to the Ifo institute, business climate index declined to 88.6 in June from 89.3 in May, compared with a reading of 89.7 forecast by analysts. The expectations index dropped to 89.0 in June from a slightly revised 90.3 the month before. Analysts had expected that index to rise to 91.0.
Japan's business-to-business service inflation hits 2.5% in May
According to the Bank of Japan (BOJ), in May, the prices Japanese companies charge each other for services increased by 2.5% compared to the previous year, indicating that expectations of consistent wage hikes are leading more companies to pass on higher labor expenses. However, this year-on-year rise was slower than the 2.7% increase observed in the previous month. The index measuring prices for services with significant labor costs also showed a 2.5% increase year-on-year in May, remaining unchanged from April.
US dollar dips from 8-week high amid month-end
The 10-year government bond yield (interpolated) on the previous trading day was 2.69, -1.34 bps. The benchmark government bond yield (LB346A) was 2.69, -0.5 bps. Meantime, the latest closed US 10-year bond yields was 4.25, +0.00 bps. USDTHB on the previous trading day closed around 36.73 moving in a range of 36.565-36.61 this morning. USDTHB could be closed between 36.40-36.70 today. The dollar saw weakness throughout the session, with the DXY troughing at 105.370, removing all of last week's gains, perhaps driven by month/quarter-end selling. The euro was the best performer against the greenback in the G10 FX space as the Dollar weakness supported the single currency.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
