Author: admin
UOB’s Global Economics & Markets Research, led by Enrico Tanuwidjaja and Sathit Talaengsatya, argues that Thailand’s latest Consumer Price Index (CPI) data confirm a cost-push rather than demand-led inflation backdrop. They keep headline inflation forecasts at 1.4% for 2026 and 1.2% for 2027 and expect the BoT to maintain the 1-day repo rate at 1.00% through 2026 and 2027.Cost-push inflation supports steady BOT stance”That said, while noting the upside risks, we maintain our projection for headline inflation at 1.4% for 2026 and 1.2% for 2027, and our call for BoT to keep the policy rate at 1.00% through end-2026 and…
NZD/USD slips to its lowest level since April on Friday as the US Dollar (USD) receives fresh bids in the wake of solid US Nonfarm Payrolls (NFP) data. At the time of writing, the pair trades around 0.5800 and is heading for a weekly loss of nearly 3%.The US economy added 172K jobs in May, well above market expectations of 85K. April’s payroll figures were revised higher to 179K from 115K, while the Unemployment Rate held steady at 4.3%.Following the data, the US Dollar climbed to a two-month high as stronger-than-expected labor market data reinforced expectations that the Federal Reserve…
US Treasury yields skyrocket across the whole curve on Friday, with the 2-year Treasury note yield rising over 12 basis points, while the benchmark note, the 10-year, surges six basis points following an outstanding Nonfarm Payrolls report.Treasury yields surge after payrolls crush forecasts, lifting DollarAt the time of writing, the US 2-year Treasury note yields 4.162%, while the 10-year yield is at 4.538%. This signals that traders are expecting the Federal Reserve (Fed) to raise interest rates, spurred by high US inflation, with the latest Consumer Price Index (CPI) report showing prices rose 3.8% in April.The stellar May’s Nonfarm Payrolls…
The Swiss Franc (CHF) weakens on Friday as the US Dollar (USD) outperforms its major peers following upbeat US labor market data. At the time of writing, USD/CHF is trading around 0.7955, climbing to a two-month high.US Nonfarm Payrolls rose by 172K in May, more than double what markets had expected. April’s payroll figures were revised higher to 179K from 115K, while the Unemployment Rate held steady at 4.3%.The data suggests the US labor market is regaining momentum after a notable slowdown last year, which prompted the Federal Reserve (Fed) to deliver three consecutive “risk-management” rate cuts.As the labor market…
ING analysts Warren Patterson and Ewa Manthey highlight that Oil is trading on expectations of resumed Persian Gulf flows, which they see as overly optimistic given stalled US-Iran talks. They stress that falling inventories in Europe and Singapore, combined with stronger third-quarter demand, could intensify market tightness and require higher prices to trigger demand destruction, particularly via refined products.Tightening stocks raise price risks”While there are few signs of progress in US-Iran talks, the oil market continues to trade on expectations of an imminent deal that would resume flows through the Strait of Hormuz. This seems overly optimistic as Hezbollah rejects…
The rupee advanced on Friday to post its best session in two months, after the central bank held its policy rate and announced a host of measures to attract dollar inflows over the medium term.The rupee gained 0.9% to end at 94.9450 per dollar, its biggest gain since April 2. Forward premiums, the cost of hedging FX exposure, plunged to 2.67 rupees, the lowest this financial year, down from 2.85 rupees.While holding its policy rate steady, the Reserve Bank of India rolled out several initiatives to attract U.S. dollar inflows, aiming to bolster India’s balance of payments position in a…
The rupee appreciated 81 paise to close at 94.93 (provisional) against the US dollar on Friday after the Reserve Bank announced measures to support foreign capital inflows and strengthen forex liquidity.Forex traders said the announcements in the RBI policy boosted investor sentiments after the apex bank asserted that the country’s forex reserves provide a sufficient buffer against external shocks.The Reserve Bank on Friday expectedly kept interest rates unchanged for the second time in a row as it weighed the impact of rising energy prices and supply disruptions caused by the West Asia crisis.At the interbank foreign exchange market, the rupee…
Deutsche Bank analysts describe a mixed backdrop for US equities, with the S&P 500 rebounding on broad participation even as chipmakers lag after Broadcom’s disappointing AI guidance. The index is marginally higher on the week and eyeing a rare tenth straight weekly gain, though futures are softer. Lower Oil and yields have supported risk sentiment despite weakness in Bitcoin.Broad rally offsets semiconductor drag”Meanwhile, equities recovered, including the S&P 500 (+0.41%), although it wasn’t all good news for risk assets yesterday, with Bitcoin (-2.06%) falling to its lowest level since early February, at $63,575.””Ahead of that, US equities also regained momentum…
The rupee appreciated 50 paise to 95.24 against the US dollar on Friday after the RBI liberalised norms for FPI investment in government securities. Forex traders said the announcements in the RBI policy boosted investor sentiments after the apex bank asserted that the country’s forex reserves provide sufficient buffer against external shocks. At the interbank foreign exchange market, the rupee opened at 95.72, then touched 95.24 in intraday trade, registering a rise of 50 paise from its previous close.On Thursday, the rupee rose 2 paise to settle at 95.74 against the US dollar. The Reserve Bank on Friday expectedly kept…
The Indian rupee rose on Friday, defying subdued Asian cues, with caution prevailing ahead of a policy outcome that is expected to steer the currency’s near-term outlook.The rupee opened marginally higher at 95.7125 and rose to an intraday high of 95.6475, after settling at 95.7850 in the previous session.The move higher at the open is largely flow-driven, possibly reflecting some position adjustment, a currency trader at a bank said.“Overall, there will be caution around taking large positions. I would say the balance of risks is balanced, with the potential for a big move depending on how the policy turns out,”…