- USDTHB: moving in the range 36.76-36.80 this morning supportive level at 36.70 resistance level at 36.90
· SET Index: 1,306.4 (+0.62%), 21 June 2024
· S&P 500 Index: 5,464.6 (-0.16%), 21 June 2024
· Thai 10-year government bond yield (interpolated): 2.70 (-2.81 bps), 21 June 2024
· US 10-year treasury yield: 4.25 (+0.00 bps), 21 June 2024
- US PMI increases in June in both manufacturing and services
- Record-high prices and rising mortgage rates depress US home sales
- Euro-zone activity slows mainly on French political uncertainty
- UK retail sales jump most since January as confidence grows
- Dollar edges higher with US economic strength in focus
US PMI increases in June in both manufacturing and services
The S&P Global U.S. Composite PMI Output Index rose to 54.6 this month,
recorded the highest level since April 2022 and followed a final reading of
54.5 in May. Both the services and manufacturing sectors contributed to the
gain in activity. The flash manufacturing PMI edged up to 51.7 this month from
51.3 in May, beating expectations. Meanwhile, the flash services PMI increased
to 55.1, a 26-month high, from 54.8 in May, exceeding expectations for a
reading of 53.7. The elevated composite PMI reading suggests that the economy
ended the second quarter on a solid note. However, recent hard data pointed to
a different picture such as retail sales and housing starts.
Record-high prices and rising mortgage rates depress US home
sales
U.S. existing home sales dropped 0.7% last month to a seasonally adjusted
annual rate of 4.11 million units. The data fell for a third straight month in
May as record-high prices and a resurgence in mortgage rates sidelined
potential buyers from the market. Housing inventory jumped last month to the
highest level in nearly two years. Weak home sales added to a sharp drop in
housing starts and building permits last month in suggesting that a re-acceleration
in mortgage rates from April through May had sapped momentum from the housing
market recovery.
Euro-zone activity slows mainly on French political uncertainty
The S&P Global composite PMI fell to 50.8 in June, contrasted to market's
expectations at 52.5. The rebound in euro-area private-sector business activity
unexpectedly lost momentum as France’s snap election weighed on firms and
manufacturing in the region recorded its worst month of the year. Europe’s
economy remains in the early stages of a recovery from last year’s mild
recession. But while growth surpassed expectations in the first quarter, recent
data have suggested momentum may be waning.
UK retail sales jump most since January as confidence grows
UK retail sales last month jumped at the strongest pace since January as
consumers returned to shops after a rainy April. According to ONS, the volume
of goods sold in stores and online rose 2.9% in May, erasing a revised 1.8%
drop during a rain-blighted April. Markets had expected a 1.6% gain.
Dollar edges higher with US economic strength in focus
The 10-year government bond yield (interpolated) on the previous trading day
was 2.70, -2.81 bps. The benchmark government bond yield (LB346A) was 2.73,
-4.0 bps. Meantime, the latest closed US 10-year bond yields was 4.25, +0.00
bps. USDTHB on the previous trading day closed around 36.71 moving in a range
of 36.76-36.80 this morning. USDTHB could be closed between 36.70-36.90 today.
The dollar edged higher against other major currencies on Friday, hitting a
fresh eight-week high against the yen as data showed a strong U.S. economic
data, especially PMI. The DXY reached sessions of highs of 105.91 and is set
for its third week of consecutive days ahead of the anticipated US Core PCE on
this Friday. The Euro was flat heading into Flash PMIs for France and Germany,
with weakness emerging once the countries reported misses on all fronts.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
