- USDTHB: moving in the range 35.49-35.605 this morning supportive level at 35.40 resistance level at 35.70
· SET Index: 1,386.0 (-0.08%), 14 Nov 2023
· S&P 500 Index: 4,495.7 (+1.81%), 14 Nov 2023
· Thai 10-year government bond yield (interpolated): 3.16 (-2.17 bps), 14 Nov 2023
· US 10-year treasury yield: 4.44 (-19.00 bps), 14 Nov 2023
- US inflation slows to 3.2% in October
- Euro zone Q3 GDP shrinks, but employment rises
- Japan's economy contracts as recession risks grow
- Dollar down as markets bet Fed done with hikes
US inflation slows to 3.2% in October Headline inflation in the US slowed by more than expected in October, in a boost for Federal Reserve officials keen on corralling price pressures in the world's largest economy. The Labor Department's US consumer price index (CPI) rose by 3.2% in October on an annualized basis, decelerating from a rate of 3.7% in September, due in large part to a fall in gas prices. It was the yearly reading's first decline in four months. Month-on-month, the measure was unchanged, down from an uptick of 0.4%. Economists had seen the figures at 3.3% annually and 0.1% from the prior month. Bringing inflation back down to the Fed's 2% target rate has been the major objective of a long-standing series of interest rate hikes by the central bank, meaning that policymakers will likely welcome a renewed cooling in price growth.
Euro zone Q3 GDP shrinks, but employment rises The euro zone economy contracted marginally quarter-on-quarter in the third quarter, a new estimate confirmed underlining expectations of a technical recession if the fourth quarter turns out equally weak, but employment still rose. The European Union's statistics office Eurostat confirmed its estimate from Oct 31 that gross domestic product in the 20 countries sharing the euro fell 0.1% quarter-on-quarter in the July-September period for a 0.1% year-on-year rise. European Central Bank vice president Luis de Guindos said last week the euro zone economy was likely to contract slightly or at best stagnate in the fourth quarter after business activity data for October showed further weakening of demand in the dominant services industry. But contrary to the usual trend when the economy weakens, employment in the euro zone rose 0.3% quarter-on-quarter in the same period, for a 1.4% year-on-year increase.
Japan's economy contracts as recession risks grow Japan's economy contracted in July-September, snapping two straight quarters of expansion on soft consumption and exports, complicating the central bank's efforts to gradually phase out its massive monetary stimulus amid rising inflation. The data suggests stubbornly high inflation is taking a toll on household spending and adding to the pain for manufacturers from slowing global demand including in China. Japan's economy contracted in July-September, snapping two straight quarters of expansion on soft consumption and exports, complicating the central bank's efforts to gradually phase out its massive monetary stimulus amid rising inflation. The data suggests stubbornly high inflation is taking a toll on household spending and adding to the pain for manufacturers from slowing global demand including in China.
Dollar down as markets bet Fed done with hikes The 10-year government bond yield (interpolated) on the previous trading day was 3.16, -2.17 bps. The benchmark government bond yield (LB31DA) was 3.15,-2.00 bps. Meantime, the latest closed US 10-year bond yields was 4.44, -19.00 bps. USDTHB on the previous trading day closed around 36.08. Moving in a range of 35.49-35.605 this morning. USDTHB could be closed between 35.40-35.70 today. The dollar stuttered at broadly lower levels on Wednesday after slumping overnight as a surprisingly softer US inflation reading bolstered bets that the Federal Reserve has reached the end of its monetary tightening cycle. The sell-off in the dollar drove a rally for many of its peer currencies, with the euro sitting just below an over two-month high hit on Tuesday. The frenetic currency market activity was sparked by data showing US consumer prices were unchanged in October, with the annual rise in underlying inflation the smallest in two years. In the 12 months through October, the CPI climbed 3.2% - below economists' estimates - after rising 3.7% in September.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
