- USDTHB: moving in the range 32.56 – 32.58 this morning, supportive level at 32.35 resistance level at 32.65
- SET Index: 1,528.43 (+0.77%), 20 May 2026
- S&P 500 Index: 7,432.97 (+1.08%), 20 May 2026
- Thai 10-year government bond yield (interpolated): 2.414 (+6.39 bps), 20 May 2026
- US 10-year treasury yield: 4.57 (-10.00 bps), 20 May 2026
- Renewed peace deal optimism lifted risk sentiment
- Fed minutes show more policymakers open to a rate hike
- UK CPI inflation grows less than expected in April
- China leaves lending benchmarks unchanged for 12th month in May
- Bank Indonesia surprises with jumbo rate hike to defend rupiah
- Dollar rally pauses on Iran deal hopes
Renewed peace deal optimism lifted risk sentiment
Market sentiment turned positive as optimism grew that the Middle East conflict may be nearing resolution after President Trump said US-Iran talks were in their final stages, while Al Hadath reported that Pakistan’s Army Chief may visit Iran on Thursday to announce a final draft agreement, with further negotiations expected in Islamabad after the Hajj season (May 25–30).
Fed minutes show more policymakers open to a rate hike
The April FOMC Minutes reinforced a hawkish Fed stance, with growing support among policymakers to remove the easing bias and potentially tighten further if inflation remains persistent. Officials warned that elevated energy prices, tariffs, and Middle East uncertainty could keep rates restrictive for longer, while most viewed labour market conditions as broadly stable despite some signs of softness. Overall, the Minutes highlighted the Fed’s stronger focus on upside inflation risks over labour market concerns.
UK CPI inflation grows less than expected in April
UK inflation fell to its lowest level in over a year, with CPI easing to 2.8% YoY in April from 3.3%, below forecasts, driven by favourable base effects and bill support. Services inflation also slowed to 3.2%, its lowest since early 2022, prompting markets to scale back expectations for further BoE tightening, though price pressures are still expected to pick up later in the year. Meanwhile, Final Eurozone headline inflation rose to 3.0% YoY in April from 2.6%, with all figures in line with initial estimates and market expectations.
China leaves lending benchmarks unchanged for 12th month in May
China kept its benchmark lending rates unchanged for a 12th straight month, with the 1-year LPR at 3.00% and the 5-year LPR at 3.50%, in line with expectations.
Bank Indonesia surprises with jumbo rate hike to defend rupiah
Indonesia’s central bank raised rates by 50bps to 5.25%, its first such move since 2022, to defend the rupiah after recent record lows. Deposit and lending rates were also lifted, with the hike aimed at stabilising the currency amid global volatility and keeping inflation within the 2026–27 target range.
Dollar rally pauses on Iran deal hopes
The 10-year government bond yield (interpolated) on the previous trading day was 2.414, +6.39 bps. The benchmark government bond yield (LB365A) was 2.42, +6.00 bps. Meantime, the latest closed US 10-year bond yields was 4.57, -10.0 bps. USDTHB on the previous trading day closed around 32.72, moving in a range of 32.56 – 32.58 this morning. USDTHB could be closed between 32.35 – 32.65 today. The dollar weakened broadly against G10 currencies as oil prices fell on signs of easing geopolitical tensions, including progress in US-Iran talks and reports of a potential Pakistan-Iran agreement. Despite hawkish FOMC Minutes suggesting policymakers remain open to further hikes if inflation persists, the dollar’s gains were short-lived. The euro benefited from the softer USD and expectations of a possible ECB June rate hike, while the British pound rebounded above 1.3400 as lower oil prices and diplomatic optimism offset weaker UK CPI data. Meanwhile, the Japanese yen traded choppily around 159.00.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
