- USDTHB: moving in the range 33.745-33.80 this morning supportive level at 33.70 resistance level at 33.90
- SET Index: 1,181.7 (-0.7%), 20 Mar 2025
- S&P 500 Index: 5,662.9 (-0.2%), 20 Mar 2025
- Thai 10-year government bond yield (interpolated): 2.063 (-4.07 bps), 20 Mar 2025
- US 10-year treasury yield: 4.24 (-1.0 bps), 20 Mar 2025
- BoE holds interest rate steady with an 8-1 vote
- US jobless claims stay low, reflecting a strong labor market
- Japan inflation slows after resumption of energy subsidies
- Chinese banks keep lending rates steady for fifth month
- Thai central bank relaxes lending rules to aid property sector
- Dollar strengthens as markets digest the Fed’s decision
BoE holds interest rate steady with an 8-1 vote
The Bank of England kept interest rates steady at 4.5%, as anticipated, and emphasized its "gradual and careful" approach to easing, despite some of its more dovish members becoming more cautious. The BoE reiterated that interest rates are still on a gradual downward trajectory. Like other central banks this week, it noted significant uncertainty. The BoE statement reiterated that a "gradual and careful approach" remains suitable, with no preset policy path. It acknowledged progress in disinflation but stated there wasn't enough new data to justify another rate cut.
US jobless claims stay low, reflecting a strong labor market
US unemployment benefit applications remained steady, with initial claims rising by 2,000 to 223,000 for the week ending March 15, matching forecasts. Continuing claims rose to 1.89 million for the week ending March 8, also in line with expectations.
Japan inflation slows after resumption of energy subsidies
Japan’s consumer inflation slowed, with government subsidies lowering utility costs. Consumer prices, excluding fresh food, rose 3.0% in February, down from 3.2% in January, but still exceeded market expectation of 2.9%. The subsidies reduced inflation by 0.33 percentage points, and the key price index remained above the Bank of Japan’s 2% target for the 35th month.
Chinese banks keep lending rates steady for fifth month
Chinese banks kept their benchmark lending rates steady for the fifth consecutive month, holding off on further monetary easing as officials leave room for potential stimulus if U.S. tariffs increase again. The one-year loan prime rate remained at 3.1%, while the five-year LPR stayed at 3.6%. Market expectations were for both rates to remain unchanged.
Thai central bank relaxes lending rules to aid property sector
Thailand's central bank has relaxed loan-to-value (LTV) rules from May until June next year to support the struggling property sector, with the LTV limit raised to 100% for all housing contracts, up from 70%-90%. Currently, this applies only to first-home purchases under 10 million baht. The bank expects this move to help address oversupply and support related businesses, but it may have limited impact on the broader economy, which has been recovering slowly since the pandemic.
The dollar strengthens as markets digest the Fed’s decision
The 10-year government bond yield (interpolated) on the previous trading day was 2.063, -4.07 bps. The benchmark government bond yield (LB353A) was 2.05, -6.0 bps. Meantime, the latest closed US 10-year bond yields was 4.24, -1.0 bps. USDTHB on the previous trading day closed around 33.64, moving in a range of 33.745 – 33.80 this morning. USDTHB could be closed between 33.70 – 33.90 today. The dollar continued to rise despite stock market fluctuations and mixed economic data. Meanwhile, a series of central bank rate decisions from abroad had little impact on the dollar. The euro slipped below the 1.0900 level, with several ECB speakers offering little support for the currency. The Japanese yen gave back some of its gains but held steady at around the 148.00 mark against the dollar, reflecting a weak risk sentiment.
Sources : ttb analytics , Bloomberg, CNBC, Trading economics, Investing, CEIC
