- USDTHB: moving in the range 32.77 – 32.79 this morning, supportive level at 32.65 resistance level at 32.90
- SET Index: 1,585.06 (-0.13%), 18 June 2026
- S&P 500 Index: 7,500.58 (+1.08%), 18 June 2026
- Thai 10-year government bond yield (interpolated): 2.092 (+2.17 bps), 18 June 2026
- US 10-year treasury yield: 4.46 (-3.00 bps), 18 June 2026
- US-Iran peace deal boosts sentiment
- Japan inflation holds steady as subsidies restrain energy
- Central bank decisions broadly aligned with market expectations
- S&P keeps Thai sovereign credit rating intact at BBB+
- Dollar extends gains after hawkish Fed
US-Iran peace deal boosts sentiment
Risk sentiment was boosted after the US and Iran signed an interim peace accord to end military operations on all fronts and immediately reopen the critical Strait of Hormuz. The agreement will kickstart a period of negotiations for two months to arrive at a final deal. Meanwhile, US equities closed higher, led by the tech-heavy Nasdaq 100 as semiconductor and memory stocks rallied on positive Apple-related catalysts. Trump said Apple would partner with Intel to design and manufacture chips in the US, while Apple CEO Cook flagged potential price increases amid the memory chip shortage.
Japan inflation holds steady as subsidies restrain energy
Japan’s May inflation came in line with expectations, with core CPI (excluding fresh food) rising 1.4% y/y, remaining below the BoJ’s 2% target for the fourth straight month. Core-core CPI (excluding fresh food and energy), a key measure of underlying inflation, slowed to 1.8% from 1.9% previously. Headline CPI edged up to 1.5% from 1.4% in April, supported by government measures to offset higher energy costs.
Central bank decisions broadly aligned with market expectations
The BoE kept rates unchanged at 3.75% as expected, with a 7-2 vote split as Greene and Pill dissented in favor of a hike. The MPC reiterated its readiness to act to bring inflation back to the 2% target, while noting CPI could rise slightly above 3.25% in Q4. The BoE said recent data provided more confidence in underlying disinflation before the conflict, though energy-driven inflation risks remained skewed to the upside. Meanwhile, Norges Bank held rates at 4.25% but signaled a potential future hike, while the SNB kept rates at 0.00% and highlighted greater readiness to intervene in FX markets. For Asian central banks, the BSP and Bank Indonesia raised rates by 25bps to 4.75% and 5.75%, respectively, to contain inflation risks and support their currencies, while Taiwan’s central bank held rates steady despite inflation pressures.
S&P keeps Thai sovereign credit rating intact at BBB+
S&P global ratings affirmed Thailand’s sovereign credit rating at BBB+ with a stable outlook, citing resilient economic fundamentals, supportive policy direction, and the country’s capacity to absorb external shocks.
Dollar extends gains after hawkish Fed
The 10-year government bond yield (interpolated) on the previous trading day was 2.092, +2.17 bps. The benchmark government bond yield (LB365A) was 2.07, +0.00 bps. Meantime, the latest closed US 10-year bond yields was 4.46, -3.0 bps. USDTHB on the previous trading day closed around 32.67, moving in a range of 32.77 – 32.79 this morning. USDTHB could be closed between 32.65 – 32.90 today. Dollar extended its post-FOMC gains as the Fed’s hawkish messaging from the statement, dot plot, and Chair Warsh’s comments continued to support the dollar despite softer yields. Meanwhile, US data had limited FX impact, with initial claims broadly stable, continuing claims higher than expected, and the Philly Fed stronger than forecast. The euro slipped below 1.1500 against the stronger USD, while the British pound weakened toward 1.3200 despite firmer jobs and wage data as the BoE held rates at 3.75%. The Japanese yen also resumed its decline, pushing USD/JPY near 162 before a sharp reversal sparked intervention speculation.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
