- USDTHB : moving in the range 36.62-36.77 this morning, supporting level of USDTHB is around 36.66 resistance level is around 36.76
- SET Index: 1,552.7 (+0.41%), 22 Jul 2022
- S&P 500 Index: 3,961.6 (-0.94%), 22 Jul 2022
- Thai 10-year government bond yield (interpolated) : 2.69% (-2.06 bps), 22 Jul 2022
- US 10-year treasury yield: 2.77 (-14.00 bps), 22 Jul 2022
- US Business Activity Contracts for 1st Time in Over 2 Years
- Eurozone Private Sector Activity Contracts in July
- UK Composite PMI Beats Expectations
- Gold Holds Advance on Recession Fears
US Business Activity Contracts for 1st Time in Over 2 Years The S&P Global US Composite PMI registered 47.5 in July, down notably from 52.3 in June to signal a solid contraction in private sector output, flash estimates showed. The rate of decline was the sharpest since the initial stages of the pandemic in May 2020, as both manufacturers and service providers reported subdued demand conditions. New export orders fell for a second successive month and new orders returned to expansion territory but the increase was only modest and, with the exception of June’s decline, was the weakest in the past two years. Looking ahead, business confidence among US companies slipped to the lowest since September 2020.
Eurozone Private Sector Activity Contracts in July The S&P Global Composite PMI for the Euro Area fell to 49.4 in July of 2022 from 52 in June and well below market forecasts of 51, preliminary estimates showed. The reading pointed to the first contraction in private sector activity since February of 2021, pushed down by a fall in factory activity (49.6 vs 52.1, the lowest in 25 months) and a slowdown in services (50.6 vs 53, the lowest in 5 months). Both output and new orders fell for the first times since the COVID-19 lockdowns of early 2021 while a rise in cost of living continued to erode the tailwind of pent-up demand from the pandemic. At the same time, jobs growth moderated for a second month running to a 15-month low as firms took more cautious approaches to hiring amid the deteriorating demand environment.
UK Composite PMI Beats Expectations The S&P Global/CIPS UK Composite PMI fell to 52.8 in July of 2022 from 53.7 in June, the lowest since February 2021 and compared to market expectations of 52.5, flash figures showed. Sector data illustrated that service providers continued to outperform in July (index at 53.3), although the latest output expansion was the weakest for 17 months. Meanwhile, manufacturing production (49.7) decreased for the first time since May 2020. The slowdown in output growth mostly reflected softer demand, alongside ongoing capacity constraints arising from shortages of materials and staff. On a more positive note, latest data indicated that input cost inflation eased considerably and was the lowest for ten months. Survey respondents often commented on lower commodity prices and a stabilization in fuel costs, but there were still widespread reports citing intense salary pressures. Some firms noted that exchange rate depreciation against the US dollar had added to their purchasing costs during July.
Gold Holds Advance on Recession Fears The 10-year government bond yield (interpolated) on the previous trading day was 2.69, -2.06 bps. The benchmark government bond yield (LB31DA) was 2.52, -6.00 bps. LB31DA could be between 2.48-2.57. Meantime, the latest closed US 10-year bond yields was 2.77, -14.00 bps. USDTHB on the previous trading day closed around 36.84 Moving in a range of 36.62-36.77 this morning. USDTHB could be closed between 36.66-36.76 today. Gold traded around $1,725 an ounce on Monday after rising for two straight sessions, as the safe-haven metal benefited from recent weakness in US Treasury yields amid renewed fears about a potential recession. The Federal Reserve is expected to deliver another 75 basis point rate hike this week.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
