- USDTHB: moving in the range 33.16-33.26 this morning supportive level at 33.00 resistance level at 33.30
- SET Index: 1,485.01 (+1.36%), 16 Oct 2024
- S&P 500 Index: 5,842.47 (+0.47%), 16 Oct 2024
- Thai 10-year government bond yield (interpolated): 2.434 (-8.03 bps), 16 Oct 2024
- US 10-year treasury yield: 4.02 (-1.00 bps), 16 Oct 2024
- UK inflation drop spurs traders to boost rate cut bets
- Japan exports unexpectedly slip for first time in 10 months
- Australia's job growth surpassed expectations for the sixth month in September
- The Thai central bank surprises markets with its first rate cut since 2020
- Indonesia's central bank keeps rates steady amid global uncertainties
- US dollar rallies; inflation weighs on the pound
UK inflation drop spurs traders to boost rate cut bets
UK inflation has fallen below the Bank of England’s 2% target for the first time in over three years, leading investors to expect faster interest rate cuts. The Consumer Price Index (CPI) rose 1.7% in September, down from 2.2% and below the 1.9% forecast. This decline was driven by cheaper airfares and petrol. Services inflation also slowed to 4.9%, below the BOE’s 5.5% estimate.
Japan exports unexpectedly slip for first time in 10 months
In September, Japan's exports fell 1.7% year-over-year for the first time in 10 months, slowing economic recovery amid weakening global demand. This decline was driven by decreases in cars, mineral fuels, and construction machinery, missing the expected 0.9% gain. Imports rose 2.1%, below the 2.8% forecast, and the trade deficit narrowed to $2 billion.
Australia's job growth surpassed expectations for the sixth month in September
Australia’s labor market exceeded expectations in September, growing for the sixth month in a row despite broader economic weakness. The number of employed people increased by 64,100, significantly above the expected 25,200 and up from 47,500 the previous month. The participation rate unexpectedly rose to 67.2%, near record highs, while the unemployment rate remained steady at 4.1%.
The Thai central bank surprises markets with its first rate cut since 2020
Thailand's central bank has unexpectedly cut its benchmark interest rate for the first time in over four years, reducing it by a quarter percentage point to 2.25%. This move aims to ease the debt burden while supporting the reduction of the household debt-to-GDP ratio. The Bank of Thailand also raised its 2024 economic growth forecast to 2.7% from 2.6% and predicted 2.9% growth for 2025, down from 3%. Additionally, it lowered its 2024 headline inflation forecast to 0.5%, below the target range of 1% to 3%.
Indonesia's central bank keeps rates steady amid global uncertainties
Indonesia's central bank kept interest rates at 6% on Wednesday to control inflation and stabilize the rupiah amid rising market uncertainties. BI Governor Perry Warjiyo highlighted escalating Middle East tensions and potential U.S. Federal Reserve rate cuts as factors affecting the rupiah, which has been under pressure recently.
US dollar rallies; inflation weighs on the pound
The 10-year government bond yield (interpolated) on the previous trading day was 2.434, -8.03 bps. The benchmark government bond yield (LB346A) was 2.40, -9.0 bps. Meantime, the latest closed US 10-year bond yields was 4.02, -1.00 bps. USDTHB on the previous trading day closed around 33.30 moving in a range of 33.16 – 33.26 this morning. USDTHB could be closed between 33.00 – 33.30 today. The dollar strengthened slightly amid weakness in major peers, with no significant updates affecting it. Limited U.S. data included softer Import and Export Prices, which had little impact. The euro weakened after failing to reach 1.0900, while the British pound fell below 1.3000 due to disappointing UK CPI data. The Japanese yen continued to weaken, with USD/JPY nearing but not hitting the 150.00 level.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
