- USDTHB: moving in the range 34.84-34.89 this morning supportive level at 34.80 resistance level at 35.00
· SET Index: 1,533.2 (+0.00%), 7 Jun 2023
· S&P 500 Index: 4,267.5 (-0.38%), 7 Jun 2023
· Thai 10-year government bond yield (interpolated): 2.53 (+1.47 bps), 7 Jun 2023
· US 10-year treasury yield: 3.79 (+9.00 bps), 7 Jun 2023
- US trade deficit widens to 6-month high, expected to dent economic growth
- China's exports tumble in May as global demand falters
- Australian exports slide, trade surplus misses expectations in April
- Safe haven dollar edges higher after weak Chinese trade data
US trade deficit widens to 6-month high, expected to dent economic growth The U.S. trade deficit widened by the most in eight years in April as imports of goods rebounded while exports of energy products declined, a trend that if sustained, could result in trade being a drag on economic growth in the second quarter. The increase reported by the Commerce Department on Wednesday was the biggest since April 2015 and pushed the trade gap to the highest level in six months. It led economists to expect that trade could chop off as much as 2.5 percentage points from gross domestic product this quarter, unless imports reversed course, a tall order given the persistent strength in domestic demand. A strong dollar and slowing global demand could curb exports.
China's exports tumble in May as global demand falters China's exports shrank much faster than expected in May while imports extended declines with a grim outlook for global demand, especially from developed markets, raising doubts about the fragile economic recovery. The world's second-largest economy grew faster than expected in the first quarter thanks to robust services consumption and a backlog of orders following years of COVID disruptions, but factory output has slowed as rising interest rates and inflation squeeze demand in the United States and Europe. Exports slumped 7.5% year-on-year in May, data from China's Customs Bureau showed on Wednesday, much larger than the forecast 0.4% fall and the biggest decline since January. Imports contracted 4.5%, slower than an expected 8.0% decline and April's 7.9% fall.
Australian exports slide, trade surplus misses expectations in April Australian exports fell in April, while the country’s trade surplus shrank more than expected as softening demand for commodities, particularly in China, saw a drop in metal shipments. Australia’s trade balance fell to a surplus of A$11.15 billion (A$1=$0.6660) in April, data from the Australian Bureau of Statistics (ABS) showed on Thursday. The figure was lower than expectations for a surplus of A$14 billion, as well as the prior month’s reading of A$15.27 billion. The surplus was also at its weakest level since August 2022. Overall Australian exports fell 5% in April from the prior month to A$56.18 billion, hit chiefly by a drop in exports of metals ores and minerals, which shrank 10.4%. On a seasonally adjusted basis, Australian exports were at their weakest level in over a year.
Safe haven dollar edges higher after weak Chinese trade data The 10-year government bond yield (interpolated) on the previous trading day was 2.53, +1.47 bps. The benchmark government bond yield (LB31DA) was 2.515, +1.50 bps. LB31DA could be between 2.30-2.80. Meantime, the latest closed US 10-year bond yields was 3.79, +9.00 bps. USDTHB on the previous trading day closed around 34.78 Moving in a range of 34.84-34.89 this morning. USDTHB could be closed between 34.50-35.00 today. The U.S. dollar edged higher in early European trade Wednesday, as traders sought out this safe haven after disappointing Chinese trade data hit sentiment. The Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.1% higher at 104.162, not far removed from the 2½-month peak of 104.70 seen at the end of May. China's trade surplus sank to a 13-month low in May, according to data released earlier Wednesday, driven chiefly by a surprise drop in exports as foreign demand for Chinese goods dried up. The slump in exports is indicative of slowing economic growth in Europe and the U.S., China’s primary markets for locally produced goods, and this has boosted demand for the dollar, a safe haven in times of stress.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
