- USDTHB: moving in the range 32.785 – 32.825 this morning, supportive level at 32.70 resistance level at 32.90
- SET Index: 1,582.60 (-0.76%), 5 June 2026
- S&P 500 Index: 7,383.74 (-2.64%), 5 June 2026
- Thai 10-year government bond yield (interpolated): 2.221 (-3.04 bps), 5 June 2026
- US 10-year treasury yield: 4.55 (+8.00 bps), 5 June 2026
- Iran strikes Israel, warns against further escalation
- US NFP beat expectations, reinforcing higher-for-longer Fed outlook
- Eurozone GDP revised into contraction; Japan growth downgraded
- Thailand’s inflation unexpectedly eases, remains in target range
- Dollar strengthens after payrolls surprise to the upside
Iran strikes Israel, warns against further escalation
Geopolitical tensions remained elevated after Iran launched four waves of missile strikes against Israel, calling them retaliation for an Israeli attack on Beirut. Tehran warned against any further escalation, saying it would halt attacks if Israel refrains from additional strikes but vowed a stronger response to any retaliation. Iran also closed its western airspace until further notice. Meanwhile, according to Axios, Trump said he would urge Netanyahu not to retaliate against Iran, warning that further escalation could prolong the conflict.
US NFP beat expectations, reinforcing higher-for-longer Fed outlook
The May US payrolls report surprised to the upside, with non-farm payrolls rising 172k versus expectations of 85k, while upward revisions to March and April added a further 93k jobs. The unemployment rate held steady at 4.3% and labor force participation remained unchanged at 61.8%, underscoring continued labor market resilience. Job gains were broad-based, led by private-sector hiring and a strong increase in leisure and hospitality employment, likely supported by World Cup-related activity, while wage growth remained in line with expectations at 0.3% m/m and 3.4% y/y.
Eurozone GDP revised into contraction; Japan growth downgraded
Eurozone GDP contracted 0.2% in Q1 2026, revised down from an initial estimate of 0.1% growth, with annual growth slowing to 0.3% from 1.2% in the previous quarter. The downgrade reflected weakness in France, where the economy shrank 0.1%, offsetting modest growth in Germany. Meanwhile, Japan’s economy expanded 1.8% year-on-year in Q1, below the initial 2.1% estimate but above market expectations of 1.4%. Growth was weighed down by a 0.7% decline in capital spending as businesses scaled back investment.
Thailand’s inflation unexpectedly eases, remains in target range
Thailand’s headline consumer price inflation eased to 2.79% y/y in May from 2.89% in April, coming in below the market expectation of 3.10%. Core inflation rose 0.92% y/y, while average CPI growth for the first five months of the year stood at 0.82%. On a month-on-month basis, the price index rose 0.17% in May, compared with 2.75% in April. Core inflation edged up 0.92%, versus 0.83% in April. The Ministry of Commerce expects headline inflation to pick up further in June and potentially approach 3%, but maintained its full-year inflation forecast at 1.5%–2.5%.
Dollar strengthens after payrolls surprise to the upside
The 10-year government bond yield (interpolated) on the previous trading day was 2.221, -3.04 bps. The benchmark government bond yield (LB365A) was 2.21, -3.00 bps. Meantime, the latest closed US 10-year bond yields was 4.55, +8.0 bps. USDTHB on the previous trading day closed around 32.67, moving in a range of 32.785 – 32.825 this morning. USDTHB could be closed between 32.70 – 32.90 today. The US dollar strengthened on Friday after a stronger-than-expected May payrolls report reinforced expectations that the Federal Reserve may still tighten policy this year, with markets now pricing around 25bps of rate hikes by year-end, up from 16bps before the data release. The broad-based dollar rally weighed on most G10 currencies.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
