- USDTHB: moving in the range 33.515-33.57 this morning supportive level at 33.40 resistance level at 33.65
- SET Index: 1,153.8 (+0.8%), 23 Apr 2025
- S&P 500 Index: 5,375.9 (+1.7%), 23 Apr 2025
- Thai 10-year government bond yield (interpolated): 1.902 (+0.51 bps), 23 Apr 2025
- US 10-year treasury yield: 4.40 (-1.0 bps), 23 Apr 2025
- Bessent clarifies no unilateral tariff cuts despite Trump remarks
- US PMI is weakest since 2023 on tariffs
- Eurozone PMI drops amid tariff-driven slowdown in services
- Indonesia central bank holds policy rates to keep rupiah stable
- The greenback outperformed most of its major peers
Bessent clarifies no unilateral tariff cuts despite Trump remarks
According to reports, Trump suggested tariffs on China could be “substantially” reduced if a trade deal is reached, with one senior official noting they might drop to 50–65% from the current 145%. Another option being considered is a tiered tariff system, with 35% on strategic goods and 100% on national security-related items, phased in over five years. Despite China signaling it is open to talks, Treasury Secretary Scott Bessent said a deal could take 2–3 years and clarified that there is no unilateral offer to cut tariffs, emphasizing that any reduction would depend on China reaching an agreement.
US PMI is weakest since 2023 on tariffs
In April, the composite PMI dropped to 51.2 from 53.5, hitting its lowest level in 16 months. The manufacturing sector rose to 50.7, exceeding market expectations of 49.1 and improving from the previous month. However, the services sector fell to 51.4, below the expected 52.5 and down from 54.4 in March. Business sentiment for the coming year also declined sharply, reaching one of its weakest points since the pandemic. Meanwhile, prices for both goods and services surged at their fastest pace in over a year—particularly for manufactured goods, which saw a steep increase linked to tariffs.
Eurozone PMI drops amid tariff-driven slowdown in services
The composite PMI slipped to 50.1 in April from 50.9 in March, just below the forecast of 50.2, as tariff-related uncertainty dragged services sector confidence to its lowest point in nearly five years. The decline was mainly driven by Germany, where the PMI unexpectedly dropped below 50 for the first time in four months. France also underperformed, staying below the key threshold. Both major European economies saw unexpected softness in their services sectors.
Indonesia central bank holds policy rates to keep rupiah stable
Indonesia's central bank left interest rates unchanged for the third straight meeting, in line with expectations, to support rupiah stability amid global trade uncertainties. Bank Indonesia maintained its benchmark 7-day reverse repo rate at 5.75%. Governor Perry Warjiyo noted the decision aligns with efforts to stabilize the currency, while the bank continues to monitor inflation and economic growth to evaluate the potential for future rate cuts.
The greenback outperformed most of its major peers
The 10-year government bond yield (interpolated) on the previous trading day was 1.902, +0.51 bps. The benchmark government bond yield (LB353A) was 1.898, +0.61 bps. Meantime, the latest closed US 10-year bond yields was 4.40, -1.0 bps. USDTHB on the previous trading day closed around 33.49, moving in a range of 33.515 – 33.57 this morning. USDTHB could be closed between 33.40 – 33.65 today. The US dollar gained strength, and the index rose to just below the 100.00 mark after President Trump dismissed rumors that he intended to fire Federal Reserve Chair Jerome Powell. The move also followed tariff-related developments. The euro dipped back below the 1.1400 level as the US dollar firmed, with a wave of ECB speeches and mixed Eurozone PMI figures offering little support to the currency. Meanwhile, the Japanese yen weakened, as a stronger dollar and improved market sentiment drove USD/JPY back above the 143.00 level.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
