- USDTHB: moving in the range 33.765-33.96 this morning supportive level at 33.70 resistance level at 34.00
· SET Index: 1,536.6 (+0.09%), 19 Jul 2023
· S&P 500 Index: 4,565.7 (+0.24%), 19 Jul 2023
· Thai 10-year government bond yield (interpolated): 2.57 (+1.21 bps), 19 Jul 2023
· US 10-year treasury yield: 3.75 (-5.0 bps), 19 Jul 2023
- US new business applications hit two-year high in June
- UK's high inflation cools, offering some relief to Bank of England
- Japan exports underwhelm in June, global weakness drags on economy
- Dollar gains as pound tumbles on cooling UK inflation
US new business applications hit two-year high in June Applications to start new U.S. businesses surged to the highest level in two years in June, despite high interest rates and uncertain economic outlook, according to a Commerce Department report. Business applications increased 6.2% in June compared with May with a seasonally adjusted 465,906 new applications. Filings from applicants that have a high likelihood of creating a payroll and adding jobs to the economy, such as those from existing corporate entities or those indicating they are already hiring, rose 6.0% to 149,536 new applications. The data is collected from business applications for tax identification numbers. Start-up activity flourished during the coronavirus pandemic with the help of historic stimulus money from the federal government and ultra-low interest rates, hitting a record high in July 2020 and remaining well above pre-pandemic levels since then.
UK's high inflation cools, offering some relief to Bank of England Britain's high rate of inflation fell by more than expected in June and was its slowest in over a year at 7.9%, according to data that will ease some of the pressure on the Bank of England to keep on raising interest rates sharply. Sterling weakened and investors scaled back their bets on future increases in borrowing costs as consumer price inflation growth came in at its lowest since March 2022, although it remained above the rate in other big, rich economies. Economists polled by Reuters had mostly forecast a smaller slowdown, to 8.2% in the 12 months to June from May's 8.7%. The BoE said in May it expected June inflation would fall to 7.9%, moving further away from October's 41-year high of 11.1% but still way above its 2% target.
Japan exports underwhelm in June, global weakness drags on economy Japan's annual exports grew much-less than expected in June, highlighting weak global demand that continues to undercut the post-COVID recovery in the world's third-biggest economy. The risk of a world recession amid sweeping monetary policy tightening since last year has cast a pall over export-led economies, with many countries including Japan relying on domestic consumption to underpin growth. The trade data, released by the Ministry of Finance (MOF) on Thursday, showed exports rose 1.5% year-on-year last month, below the 2.3% gain expected by 15 economists in a Reuters poll, but faster than a 0.6% rise in May. Exports were led by U.S. bound shipments of cars and mining machinery. Imports fell 12.9% year-on-year in June, versus the median estimate for a 11.2% decrease.
Dollar gains as pound tumbles on cooling UK inflation The 10-year government bond yield (interpolated) on the previous trading day was 2.57, +1.21 bps. The benchmark government bond yield (LB31DA) was 2.55, +2.00 bps. LB31DA could be between 2.30-2.80. Meantime, the latest closed US 10-year bond yields was 3.75, -5.00 bps. USDTHB on the previous trading day closed around 34.06 Moving in a range of 33.765-33.96 this morning. USDTHB could be closed between 33.80-34.30 today. The U.S. dollar bounced on Wednesday after inflation in the United Kingdom cooled more than economists expected in June, sending the pound sharply lower against other major currencies. Britain's rate of inflation was its slowest in over a year at 7.9%, according to data that will ease some of the pressure on the Bank of England to keep on raising interest rates sharply. Economists polled by Reuters had mostly forecast a smaller slowdown, to 8.2% in the 12 months to June from May's 8.7%. Before Wednesday's data, traders had assigned a roughly 60% chance that the BoE would hike rates on Aug. 3 by a half-percentage point. After the data, that turned into a 60% chance of a quarter-percentage point hike.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
