Equity Dimension – Global Markets Group Bank of Ayutthaya Public Company Limited Rate the song this week. There is a trend of movement within the structure. 36.00-36.75 baht/dollar The baht ended weaker at 36.35 baht/dollar after trading in a range of 35.89-36.49 baht/dollar compared to last week. The baht hit its weakest level in five months, while the yuan led regional currencies to fall over the weekend. The dollar is strong against all major currencies. The dollar fell briefly after the Federal Reserve kept interest rates at 5.25-5.50%, while the central bank's chairman stressed that the timing of the interest rate cut depended on confidence in the likelihood of inflation approaching the target. The long-term policy interest rate is likely to be 2.6%. Also, the Fed raised its estimate of the core Personal Consumption Expenditure (PCE) price index this year from 2.4% to 2.6% and expected the US economy to grow by 2.1%. Also, the central bank is in a position to decide whether to delay balance sheet reduction, compared to an expected 1.4%. (Quantitative Tightening) The central bank reduced the size of its balance sheet by $1.4 trillion. The yen fell after the Bank of Japan (BOJ) raised interest rates to siphon liquidity from the system. Although the market interpreted this as a one-time increase in the direction of higher wages, foreign investors sold Thai stocks and bonds for a net amount of 37,762 million baht and 15,497 million baht respectively.
For this week's overview Global Markets Group, Krungsri I think so The market will follow the February US PCE inflation data. Meanwhile, the negative results for the dollar from the dot plot indicate that the central bank may cut interest rates by a total of 75 bps this year, as previously. The central bank chief noted that overall inflation is likely to moderate gradually, despite challenges in controlling inflation. Overshadowed by the easing of monetary policy in other regions. Switzerland cut interest rates by 25 bp to 1.50%, the first rate cut in 9 years and the first major central bank to cut interest rates.Also, the Bank of England (BOE) is maintaining its policy but signaled it is considering an adjustment. Reduce interest rates more clearly
Even a change of direction by the BOJ is not enough to support the yen. But we view the recent round of policy adjustments as significant and will limit yen depreciation from current levels. This is especially true as global yields begin to decline.Furthermore, we estimate that the yen is close to intervention levels. Meanwhile, allowing the yen to depreciate further would reduce the government's popularity due to higher inflation.
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