- USDTHB: moving in the range 34.92-35.06 this morning supportive level at 34.80 resistance level at 35.10
· SET Index: 1,496.9 (+0.43%), 10 Jul 2023
· S&P 500 Index: 4,409.5 (+0.24%), 7 Jul 2023
· Thai 10-year government bond yield (interpolated): 2.58 (+1.04 bps), 10 Jul 2023
· US 10-year treasury yield: 4.01 (-5.0 bps), 10 Jul 2023
- US wholesale inventories revised up in boost to second-quarter GDP
- Euro zone investor mood tumbles more than expected in July
- China's deflation pressure builds as consumer prices falter
- US dollar drops to three-week low as Fed rate hikes nearly done
US wholesale inventories revised up in boost to second-quarter GDP U.S. wholesale inventories were unchanged in May after declining for two straight months, suggesting inventory investment could support economic growth in the second quarter. The Commerce Department said on Monday that wholesale inventories were unchanged instead of dipping 0.1% as previously reported last month. Stocks at wholesalers fell 0.3% in April. Economists polled by Reuters had expected that inventories would be unrevised. Inventories are a key part of gross domestic product. They increased 3.7% on a year-on-year basis in May. Private inventory investment rose at its slowest pace in 1-1/2 years in the first quarter, helping to restrict GDP growth to a 2.0% annualized pace in that three-month period.
Euro zone investor mood tumbles more than expected in July Investor morale in the euro zone sank more than expected in July, hitting a low not seen since Europe's energy crisis last November, as the currency union remains in recession mode with no indications things will improve, a survey showed on Monday. Sentix's index for the euro zone tumbled to -22.5 points in July from -17.0 in June, dipping further than expected by analysts polled by Reuters, who forecast a reading of -18.0. "There is also nothing positive to report in terms of forward-looking expectations," said Sentix managing director Manfred Huebner, after the corresponding index tumbled 6.2 points to -24.5 in July, also its lowest since November 2022. "The question is where an improvement could come from," said Huebner, as investors surveyed expect central banks to further restrict monetary policy, and the US economy, which has resisted the global downturn, is not spreading positive momentum.
China's deflation pressure builds as consumer prices falter China's producer prices fell at their fastest pace in over seven years in June, while consumer prices teetered on the edge of deflation, adding to the case for policymakers to use more stimulus to revive sluggish demand. The worsening factory-gate price deflation and the move by consumer prices towards deflation for the first time since February 2021 bode ill for China's economic growth. Momentum in China's post-pandemic recovery has slowed from a brisk pickup seen in the first quarter with demand for industrial and consumer products weakening, raising concerns about the health of the world's second-largest economy. The producer price index (PPI) fell for a ninth consecutive month in June, down 5.4% from a year earlier.
US dollar drops to three-week low as Fed rate hikes nearly done The 10-year government bond yield (interpolated) on the previous trading day was 2.58, +1.04 bps. The benchmark government bond yield (LB31DA) was 2.57, +1.00 bps. LB31DA could be between 2.30-2.80. Meantime, the latest closed US 10-year bond yields was 4.01, -5.00 bps. USDTHB on the previous trading day closed around 35.16 Moving in a range of 34.92-35.06 this morning. USDTHB could be closed between 35.00-35.50 today. The dollar sank to a three-week low on Monday after comments by Federal Reserve officials reinforced market expectations that the U.S. central bank is near the end of its tightening cycle. The Fed, however, is widely expected to raise interest rates by another 25 basis points this month despite Friday's data showing U.S. job gains were the smallest in 2-1/2 years. The expected rate hike in July would follow a Fed pause in June. Several Fed officials led by San Francisco Fed President Mary Daly on Monday said the central bank likely will need to raise interest rates further to bring down inflation that remains persistently high, but the end to its current monetary policy tightening cycle is getting close.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
