- USDTHB: moving in the range 34.64-34.69 this morning, supportive level at 34.50 resistance level at 34.80
· SET Index: 1,609.9 (+0.34%), 21 Dec 2022
· S&P 500 Index: 3,878.4 (+1.48%), 21 Dec 2022
· Thai 10-year government bond yield (interpolated): 2.68 (+3.17
bps), 21 Dec 2022
· US 10-year treasury yield: 3.68 (-1.0 bps), 21 Dec 2022
- U.S. consumer confidence rebounds; existing home sales sink
- Soaring energy costs push UK public borrowing to November record
- German consumer confidence edges higher again as economy stabilizes
- Dollar stabilizes, yen hands back some gains after BOJ shock
U.S. consumer confidence rebounds; existing home sales sink U.S. consumer confidence rose to an eight-month high in December as inflation retreated and the labor market remained strong, but fears of a recession persisted, resulting in fewer households planning to make big-ticket purchases over the next six months. Other data on Wednesday showed sales of previously owned homes falling for a 10th straight month in November, the longest such stretch since 1999. The economy is on recession watch as the Federal Reserve, which is in the midst of its fastest interest rate-hiking cycle since the 1980s, wages war on inflation by trying to cool demand for everything from housing to labor. The Conference Board said its consumer confidence index increased to 108.3 this month, the highest reading since April, from 101.4 in November.
Soaring energy costs push UK public borrowing to November record British public borrowing unexpectedly jumped last month to hit its highest for any November on record, reflecting the mounting cost of energy subsidies, debt interest and the reversal of an increase in payroll taxes, official figures showed on Wednesday. Borrowing rose to 22.0 billion pounds ($26.7 billion) from 8.1 billion pounds a year earlier – before Britain was hit by surging natural gas prices that have forced the government to subsidize heating and electricity costs for millions of households and businesses. Economists polled by Reuters had forecast a much smaller increase to 13.0 billion pounds. The news comes as the government faces a wave of strikes in the public sector – including nurses and ambulance drivers – as well as in the rail industry which relies heavily on subsidies.
German consumer confidence edges higher again as economy stabilizes German consumer confidence improved for the third month running, but its recovery is still a hostage to the energy markets, market research firm GfK said on Wednesday. The company's consumer climate index rose to -37.8 for January from an upwardly revised 40.1 in December but remains close to all-time lows as households in Europe's largest economy face a winter with sky-high energy bills and rising interest rates. Other surveys too, including S&P Global's purchasing manager index and the Ifo Business Climate, have also turned higher in the last couple of months as the government's measures - which will run for a year initially - removed some of the uncertainty around the outlook.
Dollar stabilizes, yen hands back some gains after BOJ shock The 10-year government bond yield (interpolated) on the previous trading day was 2.68, +3.17 bps. The benchmark government bond yield (LB31DA) was 2.33, +2.34 bps. LB31DA could be between 2.20-2.70. Meantime, the latest closed US 10-year bond yields was 3.68, -1.0 bps. USDTHB on the previous trading day closed around 34.78 Moving in a range of 34.64-34.69 this morning. USDTHB could be closed between 34.70-35.00 today. The U.S. dollar edged higher Wednesday and the Japanese yen handed back some of the previous session’s outsized gains as the foreign exchange market stabilized after the Bank of Japan's surprising policy shift. The Dollar Index, which tracks the greenback against a basket of six other currencies, edged higher to 103.612, rebounding after dropping nearly 1% on Tuesday, falling close to a six-month low. USD/JPY rose 0.1% to 131.79, with the yen gaining over 3% in the prior session to a four-month high. These moves had followed Tuesday’s decision of the Bank of Japan to unexpectedly widen the range within which it allows yields on the benchmark government bonds to fluctuate, a potential sign that the bank eventually intends to tighten policy amid rising inflation.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
