KASIKORNBANK Strategic Acquisition slide image

KASIKORNBANK Strategic Acquisition

K KASIKORNTHAI Currency and Interest Rate Outlook USD/THB: End Period Bt 37 32.68 32.9135.97 35.84 32 33 30.60 32.66 32.55 29.98 29.9533.41 33.50 29 0.00 ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK Interest Rate Trend Fed Funds rate BOT's 1-Day Repurchase rate 3.00-3.25 2.25 2.00 1.50 1.50 1.50 1.50 1.25 1.00 0-0.25 0-0.25 0.25-0150 0.50-0.75 1.25-1150 2.25-2.50 1.50-1.75 0-0.250 0-0.2550 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22F 4Q12 4Q13 4Q14 4Q15 4Q16 4Q17 4Q18 4Q19 4Q20 4Q21 4Q22F USD/THB ■ Baht continues to weaken above Bt34.00 per USD amid strong USD as sign of more Fed's tightening policy ■ At the end of 2022, Baht would reach 33.50 per USD as improvements of Thai economy and current account surplus from a recovery of tourism ■ Also, BOT would raise its interest rate in 3Q22, mainly due to inflation concern, supporting Baht and narrowing interest rate gap ■ However, uncertainties on U.S. recession and stagflation, the war in Ukraine and Fed's tightening are main risks to weaken Baht Note: F is estimated by KBank Capital Markets Research (as of June 16, 2022) Fed raised its interest rates by 0.75%, the most since 1994, on 15 June to 1.50-1.75%. The Fed said the interest rate hike in the next meeting would be 0.50-0.75% ■ Fed may raise its interest rates to 3.00-3.25% in 2022 due to high inflationary pressure from the war in Ukraine and China's lockdowns ■ Rising Thai inflation, global tightening pressures and interest rate gap will force the BOT to raise its interest rates twice this year, once in 3Q22 and once 4Q22 บริการทุกระดับประทับใจ K KASIKORNTHAI ธนาคารกสิกรไทย 开泰银行 KASIKORNBANK 155 Monthly Economic Conditions: April 2022 2021 Units: YoY %, or indicated otherwise Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Jan-22 Feb-22 Mar-22 Apr-22 Private Consumption Index (PCI) Non-durables Index Durables Index Service Index Passenger Car Sales Motorcyde Sales -1.6 12.4 -0.1 1.0 -7.2 -8.6 -5.6 -2.9 3.8 1.2 5.6 2.6 0.8 8.1 -4.8 6.0 3.9 2.2 -10.7 -10.9 -8.7 -6.3 -5.0 -2.0 3.1 4.4 -5.0 2.5 0.2 54.9 24.3 12.0 -8.0 22.3 11.4 -7.4 22 -7.8 14.1 12.2 0.2 3.0 3.6 14.1 -0.6 2.3 -48 -8.5 -28 2.0 20 9.9 16.9 14.8 9.8 16.4 6.0 120.4 45.6 23.2 -8.6 38.8 18.8 -13.0 0.5 -20.5 33.6 16.8 -4.0 8.2 65.7 41.7 25.1 -17.4 -28.6 -16.0 -6.9 21.5 15.6 7.0 13.9 -7.6 -9.7 Private Investment Index (PII) 9.8 15.4 25.0 17.8 9.9 5.7 7.4 7.6 5.5 3.6 7.6 3.4 1.8 1.4 Construction Material Sales Index -1.3 -6.2 6.0 -10.8 -18.0 8.1 -1.3 -1.1 -4.2 3.2 -1.7 -1.9 -4.6 7.6 Domestic Machinery Sales at constant prices 19.1 34.5 55.9 43.1 26.3 7.8 15.5 16.3 11.9 8.3 12.9 9.5 4.8 4.0 Imports of Capital Goods at constant prices 17.6 18.1 23.4 21.5 21.5 20.5 13.3 16.3 5.0 3.0 9.6 -6.4 3.9 4.3 Newly Registered Motor Vehides for Investment 0.2 16.6 35.4 11.2 -10.8 +16.0 -9.3 -15.3 5.3 4.5 3.5 8.5 5.0 2.5 Manufacturing Production Index 5.8 17.7 25.5 18.1 3.5 5.3 -0.2 2.4 4.2 6.5 20 2.5 0.4 0.6 Capacity Utilization 63.0 64.0 64.2 64.4 60.1 57.6 61.8 63.4 64.0 65.5 63.7 63.7 63.8 63.7 Agricultural Production Index 1.6 11.8 4.3 4.1 12.0 9.2 1.0 6.0 1.3 2.0 0.9 8.8 4.9 2.8 Agricultural Price Index 3.0 12.5 14.3 10.5 0.7 -6.5 -7.8 -8.1 -3.2 -2.1 4.5 0.4 8.8 10.1 Tourist arrival growth 93.6 NA. N.A. N.A. N.A. N.A. N.A. 1589.2 2882.4 3413.7 1641.2 2564.6 3028.2 3339.0 Exports (Custom basis) 17.1 12.9 41.6 43.8 20.3 8.9 17.1 17.3 24.7 24.2 8.0 16.2 19.5 Price 26 -1.0 1.3 3.6 22 2.4 23 3.3 5.9 6.8 3.6 3.8 4.5 5.0 Volume 15.0 15.4 38.5 40.9 17.8 5.2 14.1 12.6 19.1 19.0 4.1 11.6 13.8 1.5 Imports (Custom basis) 29.8 27.8 62.0 52.4 45.9 47.9 30.3 34.6 20.5 33.4 20.5 16.8 18.0 21.5 In April 2022, private consumption rebounded, due to a less concern on the Omicron outbreak. 14.4 Exports growth decelerated, due to the impact from Russia-Ukraine issue and China's Zero-COVID measure. ■Current account registered a deficit, due mainly to large trade deficit as exports of gold dropped. 9.9 April's headline inflation slightly declined but remained at high level as the Russia-Ukraine war has driven the global energy Price 4.3 7.9 7.0 6.6 3.7 1.9 3.5 5.0 6.4 5.8 9.5 10.8 13.6 13.7 Volume 18.3 12.2 44.0 36.1 31.6 37.0 16.4 14.3 6.7 21.1 8.2 3.1 27 4.7 price. Trade Balance ($ millions) (Custom basis) 3,573 472 997 1,152 183 -1,216 610 -370 1019 354 -2526 123 1459 -1,908 Current Account ($ millions) -10,901.9 -77 -1583 -818 -1590 -2731 -791 1058 346 -1378 -2204 -652 1245 3351 Headline CPI 1.23 3.41 2.44 1.25 0.45 -0.02 1.68 2.38 2.71 217 3.23 5.28 5.73 4.65 Core CPI 0.23 0.30 0.49 0.52 0.14 0.07 0.19 0.21 0.29 0.29 0.52 1.80 2.00 2.00 Sources: Bank of Thailand (BOT), Ministry of Commerce (MOC), Office of Industrial Economics (OIE), and Office of Agricultural Economics (OAE) บริการทุกระดับประทับใจ 156
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