- USDTHB: moving in the range 34.475-34.57 this morning supportive level at 34.40 resistance level at 34.60
· SET Index: 1,413.5 (+0.33%), 26 Dec 2023
· S&P 500 Index: 4,774.8 (+0.42%), 26 Dec 2023
· Thai 10-year government bond yield (interpolated): 2.73 (-0.84 bps), 26 Dec 2023
· US 10-year treasury yield: 3.89 (-1.00 bps), 26 Dec 2023
- US holiday retail sales grow 3.1%, down from prior year
- Some in BOJ called for more debate on future easy policy exit -meeting summary
- Singapore November core inflation slows to 3.2% y/y
- Dollar under pressure on rate cut wagers in thin holiday market
US holiday retail sales grow 3.1%, down from prior year US retail sales rose 3.1% between Nov. 1 and Dec. 24, as shoppers looked for last-minute Christmas deals amid big promotions, a Mastercard report showed. The increase is lower than the 3.7% growth Mastercard forecast in September and last year's 7.6% rise as higher interest rates and inflation pressured consumer spending. Amazon.com and Walmart ramped up promotions through November in the United States to entice bargain-hunting shoppers, but analysts said that the discounts were not as deep as the prior year, when retailers were saddled with excess stock after the pandemic. Some of those discounts were rolled back starting in December, when customers were expected to buy last-minute gifts and household goods on the Saturday before Christmas - dubbed "Super Saturday."
Some in BOJ called for more debate on future easy policy exit -meeting summary Some Bank of Japan policymakers called for deeper debate on a future exit from ultra-loose monetary policy as the economy makes progress toward achieving the bank's price target, a summary of opinions at this month's meeting showed. While the board agreed to maintain massive stimulus for the time being, the nine members were split between those who were cautious about raising interest rates, and others who saw the need to start preparing for a future exit. One member said the timing of normalizing the BOJ's ultra-easy policy was "getting closer" given the increasing likelihood that the bank's 2% inflation target for Japan would be reached in a sustainable manner.
Singapore November core inflation slows to 3.2% y/y Singapore's key consumer price gauge slowed to 3.2% in November on the year, in line with expectations, official data showed, and headline inflation fell to 3.6%. In a joint statement, the Monetary Authority of Singapore and the trade ministry said headline and core inflation were projected to average 3.0–4.0% and 2.5–3.5% respectively in 2024. The core inflation rate - which excludes private road transport and accommodation costs - slowed from 3.3% in October, while headline inflation dropped from 4.7% in October, and was lower in November than economists' forecast of 3.8%. The central bank is set to review monetary policy settings next month after it changed the frequency of policy reviews from a semi-annual to a quarterly schedule.
Dollar under pressure on rate cut wagers in thin holiday market The 10-year government bond yield (interpolated) on the previous trading day was 2.73, -0.84 bps. The benchmark government bond yield (LB31DA) was 2.82, -8.00 bps. Meantime, the latest closed US 10-year bond yields was 3.89, -1.00 bps. USDTHB on the previous trading day closed around 34.60 Moving in a range of 34.475-34.57 this morning. USDTHB could be closed between 34.40-34.60 today. The dollar remained under pressure, while the euro flirted with a four-month peak, as expectations that the Federal Reserve would soon cut interest rates take hold in the market, with thin year-end flows keeping movements limited. With traders out for holidays globally until the New Year, the curtailed week is likely to see muted volumes. The dollar index, which measures the US currency against six rivals, was at 101.54, just shy of the five-month low of 101.42 it touched last week. The index is on course for a 1.9% drop in 2023 after two straight years of strong gains on the back of the Fed hiking rates to battle inflation. The recent weakness in the dollar has been a result of the markets anticipating rate cuts from the Fed next year denting the appeal of the greenback.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
