- USDTHB: moving in the range 32.37-32.385 this morning, supportive level at 32.25 resistance level at 32.50
- SET Index: 1,315.6 (+0.10%), 29 Oct 2025
- S&P 500 Index: 6,890.6 (-0.00%), 29 Oct 2025
- Thai 10-year government bond yield (interpolated): 1.692 (-0.03 bps), 29 Oct 2025
- US 10-year treasury yield: 4.08 (+9.0 bps), 29 Oct 2025
- Fed cuts rates as expected; Powell signals December move uncertain
- Trump expects to cut fentanyl tariff, discuss Nvidia in Xi talks
- Spain Q3 GDP growth driven by domestic demand
- Dollar rises on Powell’s hawkish tone
Fed cuts rates as expected; Powell signals December move uncertain
The Federal Reserve cut rates by 25 basis points to 3.75–4.00%, in line with expectations, though Miran dissented in favor of a 50-bps cut and Schmid preferred no change. The Fed announced it will end its balance sheet drawdown and begin reinvesting MBS proceeds into Treasury bills starting December 1. It noted that economic activity continues to expand moderately, job gains have slowed, and unemployment has edged up but remains low. Inflation has risen since earlier in the year and remains somewhat elevated. The Committee highlighted increased downside risks to employment, reaffirmed its dual-mandate focus, and maintained that future policy adjustments will depend on incoming data, economic developments, and the balance of risks. Powell struck a hawkish tone, emphasizing that a December rate cut is not assured amid divided views within the Committee. He described the latest move as a risk-management step but said future cuts are uncertain, noting the Fed has already eased by 150bps and is near the neutral rate, prompting some to favor a pause.
Trump expects to cut fentanyl tariff, discuss Nvidia in Xi talks
US President Trump and Chinese President Xi are expected to discuss reducing tariffs on Chinese goods as part of efforts to curb fentanyl production, with the US potentially halving the current 20% levies imposed in retaliation for China’s export of synthetic opioid precursors. Both countries are also considering cutting port fees on each other’s ships. Trump described his trip as successful, expressing optimism about improving relations with China and plans to discuss fentanyl, agriculture, and possibly NVIDIA’s Blackwell chip with President Xi.
Spain Q3 GDP growth driven by domestic demand
GDP for the third quarter rose 0.6% quarter-on-quarter, in line with analysts’ forecasts. Although this was slightly below the 0.8% growth seen in Q2, it outpaced the eurozone’s 0.1% expected expansion. Strong household and government spending offset a decline in trade, supporting overall growth.
Dollar rises on Powell’s hawkish tone
The 10-year government bond yield (interpolated) on the previous trading day was 1.692, -0.03 bps. The benchmark government bond yield (LB353A) was 1.678, +0.55 bps. Meantime, the latest closed US 10-year bond yields was 4.08, +9.0 bps. USDTHB on the previous trading day closed around 32.32, moving in a range of 32.37– 32.385 this morning. USDTHB could be closed between 32.25 – 32.50 today. The dollar strengthened following Fed Chair Powell’s hawkish post-meeting remarks, despite the Fed’s widely expected 25bps rate cut. Dissent within the Committee increased, with Schmid favoring no change and Miran continuing to push for a 50bps cut. Powell’s comments downplaying the likelihood of another cut in December further boosted the dollar, as he noted differing views within the Committee on the future policy path. The euro fell below 1.1600 against the dollar amid Powell’s rhetoric and ahead of the ECB meeting, while the British pound retreated to the 1.31 level as the dollar dominated and UK PM Starmer hinted at possible tax hikes in November’s budget. Meanwhile, the Japanese yen weakened, with USD/JPY briefly surpassing 153.00 as US yields rose, with markets turning attention to the upcoming BoJ decision and the Trump-Xi meeting.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
