- USDTHB: moving in the range 36.065-36.20 this morning supportive level at 35.90 resistance level at 36.20
· SET Index: 1,391.0 (-0.60%), 24 Oct 2023
· S&P 500 Index: 4,247.7 (+0.56%), 24 Oct 2023
· Thai 10-year government bond yield (interpolated): 3.31 (-5.79 bps), 24 Oct 2023
· US 10-year treasury yield: 4.83 (-3.00 bps), 24 Oct 2023
- US business activity ticks up while euro zone gauge fans recession fears
- Euro zone October PMI at near 3-year low, stirring recession worries
- Japan's price trend gauge hits record, signals broadening inflation
- Dollar bounces, euro heavy on US/euro zone growth outlook divergence
US business activity ticks up while euro zone gauge fans recession fears US business activity ticked higher in October while output in the euro zone took a surprise turn for the worse, surveys showed, underscoring the diverging path for central bankers in the two regions and fanning fears the bloc may slip into recession. In the United States, the manufacturing sector pulled out of a five-month contraction on a pickup in new orders, and services activity accelerated modestly amid signs of easing inflationary pressures. S&P Global said its flash US Composite Purchasing Managers Index tracking both the manufacturing and service sectors rose to 51.0 in October - one point above the 50 level that separates expansion and contraction - from a final September reading of 50.2. It was the highest level since July in the latest sign the US economy is withstanding the surge in interest rates spurred by the Federal Reserve's campaign to beat back inflation.
Euro zone October PMI at near 3-year low, stirring recession worries Euro zone business activity took a surprise turn for the worse this month as demand fell in a broad-based downturn across the region, a survey showed, entering the fourth quarter on the wrong foot and suggesting the bloc may slip into recession. Purchasing managers' survey will likely make disappointing reading for the European Central Bank, which meets on Thursday, and market pricing now suggests ECB President Christine Lagarde's 'higher-for-longer' interest rate narrative may not last as some expect. HCOB's flash euro zone Composite Purchasing Managers' Index (PMI), compiled by S&P Global and seen as a good guide to overall economic health, fell to 46.5 in October from September's 47.2 and its lowest since November 2020. Outside of the COVID-19 pandemic months it was the lowest reading since March 2013.
Japan's price trend gauge hits record, signals broadening inflation A key measure of Japan's trend inflation accelerated to 2% in September, hitting a record and matching the central bank's target, data showed, heightening the case for dialing back its massive monetary stimulus. The data adds to recent growing signs of broadening inflationary pressure in the world's third-largest economy, which had been mired in decades of price stagnation. The 2.0% year-on-year increase in the weighted median inflation rate, which is closely watched as an indicator on whether price rises are broadening, compared with a 1.8% gain in August. It marked the fastest pace of rise since comparable data became available in 2001, Bank of Japan (BOJ) data showed. The outcome will likely be among factors the BOJ board will scrutinize in producing fresh inflation forecasts at a two-day policy meeting ending on Oct. 31.
Dollar bounces, euro heavy on US/euro zone growth outlook divergence The 10-year government bond yield (interpolated) on the previous trading day was 3.31, -5.79 bps. The benchmark government bond yield (LB31DA) was 3.34,-5.00 bps. Meantime, the latest closed US 10-year bond yields was 4.83, -3.00 bps. USDTHB on the previous trading day closed around 36.15. Moving in a range of 36.065-36.20 this morning. USDTHB could be closed between 35.90-36.20 today. The dollar was on the front foot, drawing support from yet another resilient US economic data reading, while the euro struggled to make headway on the back of a darkening growth outlook in the bloc. The Australian dollar rose more than 0.5% in an initial knee-jerk reaction following a higher-than-expected inflation print in Australia on Wednesday. US business output ticked higher in October as the manufacturing sector pulled out of a five-month contraction, data on Tuesday showed, while separate data released the same day showed the euro zone's business activity in contrast took a surprise turn for the worse this month. Against the dollar, the euro was last 0.05% higher at $1.0595, having declined 0.75%.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
