- USDTHB: moving in the range 33.48-33.57 this morning supportive level at 33.30 resistance level at 33.60
- SET Index: 1,452.8 (+0.04%), 8 Oct 2024
- S&P 500 Index: 5,751.1 (+0.96%), 8 Oct 2024
- Thai 10-year government bond yield (interpolated): 2.57 (+0.11 bps), 8 Oct 2024
- US 10-year treasury yield: 4.04 (+1.00 bps), 8 Oct 2024
- German industrial output surges unexpectedly in August
- China confident on growth goal, markets await more stimulus
- Japan real wages down again after summer bonus bump, spending falls
- Asia FX weakens as yuan slides; Dollar firm amid bets on smaller rate cut
German industrial output surges unexpectedly in August
The Federal Statistics Office reported that German Industrial Production increased by 2.9% in August after decline by 2.9% in July’s revision thanks to an increase in automotive industry output. Production across the automotive industry surged by 19.3% in August, recovering from an 8.2% fall in July. Industrial production, excluding energy and construction, increased by 3.4% in August. Production of capital goods jumped by 6.9%, while intermediate goods production rose by just 0.1%. Sentiment indicators in the manufacturing sector remain gloomy and incoming orders were unable to continue their slight upward trend of recent months in August.
China confident on growth goal, markets await more stimulus
Officials in the National Development and Reform Commission said Tuesday they would speed up spending while largely reiterating plans to boost investment and increase direct support for low-income groups and new graduates. They added that China would continue to issue ultra-long sovereign bonds next year to support major projects. The authorities will also bring forward to this year 100 billion yuan ($14 billion) in central government investment originally budgeted for 2025 and add another 100 billion yuan in spending on key strategic areas in 2024. The lack of a “bazooka” announcement poured cold water on the stock mania in Hong Kong and mainland China. Blue-chip stocks listed in Shanghai and Shenzhen last traded 6% higher, after soaring more than 9% at the market open. Hong Kong’s benchmark Hang Seng Index, which has just had its best two-week period since at least 2005, lost more than 5%.
Japan real wages down again after summer bonus bump, spending falls
Japan’s real wages fell 0.6%YoY in August, according to the Ministry of Health, Labor, and Welfare. That came after a revised 0.3% rise in July. Real wages had turned up in June for the first time in more than two years as companies bumped up summertime bonuses. Moreover, the Ministry of Internal Affairs indicated that Japan's households spending fell 1.9%YoY in August. Households with two or more people spent 297,487 yen, or about 2,000 dollars, on average. That's a drop of 1.9% in yen terms, adjusted for inflation. It was the first decline in two months. Transportation and communication expenditures plunged 17.1%. Households spent 2.6% more on food. On the other hand, spending on travel and other activities related to culture and recreation was down 6.9%. Utilities expenditures also fell 2.4%.
Asia FX weakens as yuan slides; Dollar firm amid bets on smaller rate cut
The 10-year government bond yield (interpolated) on the previous trading day was 2.57, +0.11 bps. The benchmark government bond yield (LB346A) was 2.57, +0.0 bps. Meantime, the latest closed US 10-year bond yields was 4.04, +1.00 bps. USDTHB on the previous trading day closed around 33.46 Moving in a range of 33.48-33.57 this morning. USDTHB could be closed between 33.30-33.60 today. The dollar eased from near seven-week highs against major currencies on Tuesday after investors assessed the outlook for U.S. smaller rate cuts. Most Asian currencies drifted lower with the Chinese yuan weakening sharply as onshore trade resumed after a week-long holiday. A stock market rally in China has fizzled out as a highly anticipated announcement on plans to boost the country's ailing economy disappointed investors. After a volatile day of trading, the Shanghai Composite Index in mainland China closed 4.6% higher, while the Hang Seng in Hong Kong slumped by 9.4%.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
