- USDTHB: moving in the range 36.80-36.95 this morning supportive level at 36.70 resistance level at 36.95
· SET Index: 1,451.3 (+0.27%), 4 Oct 2023
· S&P 500 Index: 4,263.8 (-0.58%), 4 Oct 2023
· Thai 10-year government bond yield (interpolated): 3.37 (+12.71 bps), 4 Oct 2023
· US 10-year treasury yield: 4.73 (-8.00 bps), 4 Oct 2023
- U.S. private sector adds just 89,000 jobs in September
- US service sector slows modestly in September
- Euro zone economy likely contracted in Q3 amid waning demand
- US dollar retreats after mixed batch of data; yen modestly firmer
U.S. private sector adds just 89,000 jobs in September The U.S. private sector added a far smaller-than-forecast 89,000 jobs in September, according to a report by payrolls processor ADP, indicating that conditions in the labor market may be loosening, possibly giving the Federal Reserve more leeway to pause rate hikes. It was the slowest pace of growth since January 2021, when private employers shed jobs. Economists had expected the private sector to have added 153,000 jobs last month. August's figure was revised up to show job gains of 180,000 from the gain of 177,000 that was initially reported. Large establishments drove the slowdown, losing 83,000 jobs and wiping out gains they made in August. The report also said that annual wage growth slowed to 5.9% last month, marking the twelfth straight month of slowing growth.
US service sector slows modestly in September The U.S. services sector slowed in September as new orders fell to a nine-month low, but the pace remained consistent with expectations for solid economic growth in the third quarter. The Institute for Supply Management (ISM) said on Wednesday that its non-manufacturing PMI slipped to 53.6 last month from 54.5 in August. A reading above 50 indicates growth in the services industry, which accounts for more than two-thirds of the economy. It was in line with economists' expectations. Demand for services is being underpinned by a shift in spending away from goods amid higher interest rates. The ISM reported on Monday that its manufacturing PMI contracted in September for the 11th straight month, though the pace of decline slowed considerably.
Euro zone economy likely contracted in Q3 amid waning demand The euro zone economy probably shrank last quarter, according to a survey which showed demand fell in September at the fastest pace in almost three years as indebted consumers reined in spending in the face of rising borrowing costs and higher prices. HCOB's final Composite Purchasing Managers' Index (PMI), compiled by S&P Global and seen as a good gauge of overall economic health, nudged up to 47.2 in September from August's 46.7. But that was below the 50-mark separating growth from contraction for a fourth consecutive month, albeit just ahead of a preliminary estimate of 47.1. Survey showed the downturn was broad-based as, like in August, output declined in both services and manufacturing.
US dollar retreats after mixed batch of data; yen modestly firmer The 10-year government bond yield (interpolated) on the previous trading day was 3.37, +12.71 bps. The benchmark government bond yield (LB31DA) was 3.23, +11.00 bps. Meantime, the latest closed US 10-year bond yields was 4.73, -8.00 bps. USDTHB on the previous trading day closed around 37.16. Moving in a range of 36.80-36.95 this morning. USDTHB could be closed between 36.70-36.95 today. The dollar fell, tracking the pullback in U.S. Treasury yields, amid a mixed set of data suggesting that there are pockets of weakness in the world's largest economy, further diminishing the odds of another interest rate hike by the Federal Reserve before the end of the year. The yen, on the other hand, was slightly firmer against the greenback, moving away from the closely watched 150-per dollar mark, as a short-lived surge in the previous session stoked speculation that Japanese authorities may have intervened to support the currency. The dollar index, which tracks the greenback against six peers, was down 0.3% at 106.69, giving up some of its recent gains, after weaker-than-expected U.S. private payrolls based on the ADP National Employment Report. The index, however, remained within striking distance of a nearly 11-month high of 107.34 reached in the previous session.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
