Published at 03:20 (GMT) 05 Sep
TheNation: The UTCC survey found that the Thai Consumer Confidence Index (CCI) had improved for the fourth consecutive month in August, to 80.1 points compared with 78.2 in July. The August figure, though still below the 100-point baseline, was the highest in 13 months. Rising consumer confidence last month was attributed to the appointment of junta leader General Prayuth Chan-ocha as prime minister and a new Cabinet, lowering of fuel prices, a positive outlook for next year's economic expansion, the stable policy interest rate, a rising stock market, and slight appreciation of the baht. Athough confidence is on the rise, the UTCC found consumers had high expectations on future economic growth, meaning the new government will need to stimulate disbursement of the state budget and reverse the slide of agricultural prices very quickly.
As expected, the dip below 32.00 in USD/THB proved to be limited, with prices back at 32.08 - 12. No surprise to see the pair higher after the broad USD rise in the market, and the Wednesday's high of 32.16 looks increasingly likely to be broken. Next target remains at 32.35, and we expect an eventual move higher. 10 year yields trading a tad lower at 3.68%. C.L
Recommended Content
Editors’ Picks
EUR/USD retreats to 1.0700 after US data
EUR/USD lost its traction and turned negative on the day near 1.0700 in the American session on Tuesday. The data from the US showed that Employment Cost Index rose more than expected in Q1 and provided a boost to the USD.
GBP/USD declines toward 1.2500 on renewed USD strength
GBP/USD turned south and dropped toward 1.2500 in the second half of the day. The US Dollar gathers strength following the strong wage inflation data, forcing the pair to stay on the back foot.
Gold extends daily slide toward $2,300 after US data
Gold stays under bearish pressure and declines toward $2,300 on Tuesday. The benchmark 10-year US Treasury bond yield stays in positive territory above 4.6% after US Employment Cost Index data, weighing on XAU/USD.
XRP hovers above $0.51 as Ripple motion to strike new expert materials receives SEC response
Ripple (XRP) trades broadly sideways on Tuesday after closing above $0.51 on Monday as the payment firm’s legal battle against the US Securities and Exchange Commission (SEC) persists.
Eurozone inflation stable as the outlook on prices gets increasingly muddied
Eurozone headline inflation remains stable at 2.4%. With higher energy prices and improving domestic demand, questions about the direction of inflation become louder.