- USDTHB: moving in the range 34.61-34.70 this morning supportive level at 34.50 resistance level at 34.80
· SET Index: 1,533.5 (-0.08%), 31 May 2023
· S&P 500 Index: 4,179.8 (-0.61%), 31 May 2023
· Thai 10-year government bond yield (interpolated): 2.50 (-3.89 bps), 31 May 2023
· US 10-year treasury yield: 3.64 (-5.00 bps), 31 May 2023
- US job openings increase to 10.1 million in April
- German inflation drops to lowest level in more than a year
- Japan's solid capex growth points to upward revision to Q1 GDP
- Dollar backs off highs after Fed officials suggest skipping June rate hike
US job openings increase to 10.1 million in April Job openings in the U.S. rose in April, breaking three straight months of declines, in a potential sign of lingering labor market tightness that could impact the Federal Reserve’s ongoing fight to corral elevated inflation. The Labor Department’s monthly Job Openings and Labor Turnover Survey, also known as the JOLTS report, showed that job vacancies totaled 10.1 million on the final day of last month. The figure is higher than the upwardly revised mark of 9.75M in March and well above forecasts of 9.78M. Meanwhile, layoffs and discharges decreased by 264,000 to 1.6M, bringing the rate in relation to the broader workforce down to 1.0% from 1.2% in the prior month. Although the data runs a month behind the all-important nonfarm payrolls report, Fed officials have been keeping a close eye on it as they attempt to gauge price growth.
German inflation drops to lowest level in more than a year Germany on Wednesday joined a list of major euro zone economies reporting a bigger than expected drop in inflation, suggesting that price growth may be falling more quickly than expected, adding to arguments for caution on rate hikes. The European Central Bank has raised rates by a record 375 basis points in the past year and already flagged another move in June. But policy “doves,” particularly from the euro zone’s southern rim, have called for a more tempered approach as the increases are still working their way through the economy. In Germany, inflation eased this month to its lowest level in more than a year, official data showed on Wednesday, after similarly benign readings across the euro zone, suggesting that price growth may be falling more quickly than expected in the 20-nation currency bloc.
Japan’s solid capex growth points to upward revision to Q1 GDP Japanese companies raised spending on plant and equipment in January-March at the fastest rate since 2015, with a stronger-than-expected showing by manufacturers signaling a possible upward revision to first-quarter economic growth. Capital spending has been a bright spot for Japan’s economy, the world’s third largest, which emerged from a pandemic-induced slump in the first quarter buoyed by rebounding consumption and surprise gains in business expenditure. Japanese firms raised capital expenditure by 11.0% in January-March from the same period a year earlier, posting an eighth straight quarter of gains, Ministry of Finance (MOF) data showed on Thursday.
Dollar backs off highs after Fed officials suggest skipping June rate hike The 10-year government bond yield (interpolated) on the previous trading day was 2.50, -3.89 bps. The benchmark government bond yield (LB31DA) was 2.54, -4.00 bps. LB31DA could be between 2.30-2.80. Meantime, the latest closed US 10-year bond yields was 3.64, -11.00 bps. USDTHB on the previous trading day closed around 34.74 Moving in a range of 34.61-34.70 this morning. USDTHB could be closed between 34.50-35.00 today. The U.S. dollar retreated from a more than two-month high on Wednesday after a Federal Reserve official warned any decision by the central bank to hold its benchmark overnight interest rate firm at an upcoming meeting would not mean that it is done tightening monetary policy. In remarks on Wednesday, Fed Governor and vice chair nominee Philip Jefferson said that skipping a rate hike would allow the Fed "to see more data before making decisions about the extent of additional policy firming.“ Investors reset expectations after Jefferson's comments, with prices of futures tied to the Fed's policy rate reflecting only a one-in-three chance of a June rate hike.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC