- USDTHB: moving in the range 34.12-34.255 this morning supportive level at 34.10 resistance level at 34.30
- SET Index: 1,161.8 (-0.9%), 3 Apr 2025
- S&P 500 Index: 5,396.5 (-5.0%), 3 Apr 2025
- Thai 10-year government bond yield (interpolated): 1.888 (-5.24 bps), 3 Apr 2025
- US 10-year treasury yield: 4.06 (-14.0 bps), 3 Apr 2025
- US ISM services weakens as employment drops the most since 2023
- US continuing jobless claims rise to highest since November 2021
- ECB officials viewed a rate cut or pause as potential options for April
- China's Caixin services PMI growth outpaced expectations in March
- The dollar lost its safe-haven appeal as US growth worries from tariffs
US ISM services weakens as employment drops the most since 2023
US services expanded at their slowest pace in nine months in March. The ISM services index fell to 50.8 from 53.5 the previous month, below market expectations. Ten industries saw growth, with accommodation and food services, transportation, warehousing, and finance leading the way, while seven sectors, including management and support services, contracted. The services employment index plummeted by 7.7 points to 46.2, marking the largest drop in nearly five years, aside from the pandemic's immediate aftermath. The orders index fell nearly 2 points to 50.4, indicating modest growth. Meanwhile, the ISM prices-paid index slightly decreased to a still-high 60.9 in March.
US continuing jobless claims rise to highest since November 2021
Initial jobless claims dropped to 219k, down from the previous 225k, and below the expected 225k. Meanwhile, continued claims exceeded expectations, rising to 1.903 million, above the forecast range of 1.870 million, up from the previous 1.847 million. Economists highlighted the 56k rise in continuing claims, reaching its highest level since November 2021, as further evidence that businesses are significantly slowing hiring amid ongoing economic policy uncertainty.
ECB officials viewed a rate cut or pause as potential options for April
Minutes from the ECB's March meeting revealed that officials debated the possibility of either a rate cut or a pause at their April meeting, depending on new data. They also discussed the potential for further rate cuts, with some expressing concerns about the course of monetary policy and the need for clearer communication to avoid hinting at future cuts.
China's Caixin services PMI growth outpaced expectations in March
China's service sector showed improvement in March, with local demand and business activity benefiting from stimulus measures implemented by Beijing. This was a positive development ahead of the added pressure from new US tariffs. The Caixin services PMI increased to 51.9, up from 51.4 in February, exceeding the median forecast of 51.5.
The dollar lost its safe-haven appeal as US growth worries from tariffs
The 10-year government bond yield (interpolated) on the previous trading day was 1.888, -5.24 bps. The benchmark government bond yield (LB353A) was 1.89, -5.0 bps. Meantime, the latest closed US 10-year bond yields was 4.06, -14.0 bps. USDTHB on the previous trading day closed around 34.34, moving in a range of 34.12 – 34.255 this morning. USDTHB could be closed between 34.10 – 34.30 today. The dollar fell sharply following US President Trump's tariff announcement, which was more aggressive than many had anticipated, raising concerns about economic growth. Additionally, several economic data releases were overshadowed by the turmoil surrounding the tariffs, including a significant miss on the ISM services. Market participants are now focusing on the upcoming NFP report and comments from Fed Chair Powell on Friday. The euro gained from the dollar's slump after the tariff announcement, with eurozone Services PMI data exceeding expectations. Spain’s PM called for stronger global trade links and unveiled a EUR 14.1 billion plan to protect its economy from US tariffs. The Japanese yen strengthened due to safe-haven flows, causing the USD/JPY to briefly drop below the 146.00 level.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
