- USDTHB: moving in the range 33.89-33.91 this morning supportive level at 33.80 resistance level at 34.00
- SET Index: 1,431.1 (+0.24%), 9 Sep 2024
- S&P 500 Index: 5,471.1 (+1.2%), 9 Sep 2024
- Thai 10-year government bond yield (interpolated): 2.557 (+1.09 bps), 9 Sep 2024
- US 10-year treasury yield: 3.70 (-2.0 bps), 9 Sep 2024
- US inflation expectations remain steady while worries about delinquency increase
- Euro zone investor morale dropped in September amid economic weakness
- China's consumer prices rose in August, but PPI remained in deflation
- The dollar was firmer to start the week
US inflation expectations remain steady while worries about delinquency increase
Consumer inflation expectations remained steady for the 1-year and 5-year periods at 3% and 2.8%, respectively, but the 3-year expectation increased to 2.5% from the previous 2.3%. Delinquency expectations, however, rose for a third straight month to the highest level since April 2020. For home prices, the median anticipated increase edged up to 3.1% from 3%. The survey revealed mixed views on the labor market: the median expected earnings growth for the next year rose to 2.9% from 2.7%, while the average probability of a higher US unemployment rate in a year increased to 37.7% from 36.6%. Conversely, the average perceived likelihood of losing one's job in the next year decreased to 13.3% from 14.3%.
Euro zone investor morale dropped in September amid economic weakness
Investor confidence in the euro zone declined for the third straight month in September, reaching its lowest point since January due to growing concerns about the economy, especially in Germany. The Sentix index for the euro zone dropped to -15.4 in September from -13.9 in August, falling short of the anticipated recovery to -12.5. In Germany, investor morale worsened to -34.7 in September from -31.1 in August, and the index for the current economic situation in Germany fell to -48.0 from -42.8.
China's consumer prices rose in August, but PPI remained in deflation
In August, China's consumer inflation increased to its highest rate in six months, driven mainly by higher food prices caused by weather-related disruptions rather than an improvement in domestic demand, as deflation in producer prices intensified. The consumer price index (CPI) rose by 0.6% year-over-year last month, up from 0.5% in July but falling short of the expected 0.7% increase. Food prices surged by 2.8% year-over-year in August, compared to no change in July, while non-food inflation decreased to 0.2% from 0.7% in July. Core inflation, which excludes volatile food and energy prices, was 0.3% in August—the lowest in nearly three and a half years—down from 0.4% in July. Conversely, the producer price index (PPI) dropped 1.8% year-over-year in August, marking the biggest decline in four months, and worse than the 0.8% drop in July and the anticipated 1.4% decrease.
The dollar was firmer to start the week
The 10-year government bond yield (interpolated) on the previous trading day was 2.557, +1.09 bps. The benchmark government bond yield (LB346A) was 2.555, +1.00 bps. Meantime, the latest closed US 10-year bond yields was 3.70, -2.0 bps. USDTHB on the previous trading day closed around 33.83 moving in a range of 33.89 – 33.91 this morning. USDTHB could be closed between 33.80 – 34.00 today. The dollar strengthened at the start of the week, despite a lack of significant news as the Fed is in a blackout period before next week's meeting. Market participants are also awaiting the US Presidential Debate on Tuesday and the latest CPI data on Wednesday. The index peaked at 101.690, up from an earlier low of 101.160. The euro remained weak, falling further below 1.1100 due to the dollar's strength and expectations of an ECB rate cut later this week. The Japanese yen faced pressure, with USD/JPY rising back to 143.00, ending a four-day losing streak for the pair.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics,
Investing, CEIC
