- USDTHB: moving in the range 36.83-36.90 this morning supportive level at 36.80 resistance level at 37.00
· SET Index: 1,309.5 (-0.74%), 27 June 2024
· S&P 500 Index: 5,482.9 (+0.09%), 27 June 2024
· Thai 10-year government bond yield (interpolated): 2.7 (+0.58 bps), 27 June 2024
· US 10-year treasury yield: 4.29 (-3.00 bps), 26 June 2024
- Final US Q1 GDP revised higher, but consumption was slower
- US weekly jobless claims decline slightly
- Tokyo's CPI edged higher in June, but underlying inflation remained subdued
- The US dollar weakens following softened economic data
Final US Q1 GDP revised higher, but consumption was slower In its third revision, the Gross Domestic Product showed a slight upward adjustment to a 1.4% annualized growth rate for the last quarter. Initially, growth was reported at 1.3%. According to the Bureau of Economic Analysis (BEA), GDP growth for Q1 stands at 1.4%, a decline from the 3.4% recorded in Q4 2023, indicating a mixed economic signals. This revision is influenced by reduced imports, increased nonresidential fixed investment, and higher government spending, partly balanced by a decrease in consumer spending, especially in service sector.
US weekly jobless claims decline slightly Initial jobless claims edged down last week, potentially easing concerns about significant changes in the job market. The data decreased by 6,000 to 233,000 on a seasonally adjusted basis for the week ending June 22, which was below expectations. This data encompassed the newly recognized Juneteenth National Independence Day holiday last Wednesday, known to introduce volatility in claims around public holidays. Conversely, ongoing applications for jobless benefits in the U.S. rose to their highest level since late 2021, indicating prolonged job search durations for the unemployed. Continuing claims, which serve as a gauge for the number of individuals receiving benefits, climbed to 1.84 million for the week ending June 15.
Tokyo's CPI edged higher in
June, but underlying inflation remained subdued
Consumer price index inflation in Tokyo saw a slightly
stronger-than-anticipated increase in June due to improved consumer spending,
though core inflation figures remained largely subdued. The headline CPI rose
to 2.3%, up from 2.2% in May. Meanwhile, Tokyo's core CPI, excluding volatile
fresh food prices, grew to 2.1% in June, surpassing expectations of 2.0%
following a 1.9% rise in May. However, core inflation, which excludes both
fresh food and energy prices—a key measure monitored by the Bank of Japan for
underlying inflation—increased to 1.8% in June from 1.7% in May. This reading
remained near its lowest level since late 2022 and well below the Bank of
Japan's annual target of 2%.
The US dollar weakens following softened economic data
The 10-year government bond yield (interpolated) on the previous trading
day was 2.71, +0.58 bps. The benchmark government bond yield (LB346A) was 2.70,
+1.0 bps. Meantime, the latest closed US 10-year bond yields was 4.29, -3.00
bps. USDTHB on the previous trading day closed around 36.93 moving in a range
of 36.83 - 36.90 this morning. USDTHB could be closed between 36.80-37.00
today. The dollar hovered around the 106 level throughout the European session,
before falling in response to US data, with the DXY troughing at 105.70, though
losses since have slightly pared, albeit still beneath 106.00. The yen edged up
from a 38-year low against the greenback following the U.S. numbers, even as
traders remained on high alert for any signs of Japanese intervention to prop
up the currency. Japanese yen fell against dollar to session lows of 160.29,
and pared losses post US data. The Euro was the relative outperformer in
the G10 space against the Dollar, supported by the softened US economic data,
after making a new monthly low yesterday.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
