#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation.

Swiss firm keen to make electric tricycles in Thailand

EconSep 11. 2020

By The Nation

A Swiss company has expressed interest in investing in three-wheel electric vehicles in Thailand to promote clean energy, Yongyuth Nakdang, deputy director-general of the Department of Land Transport, said.

He was speaking after a meeting on Thursday with Helene Budliger Artieda, Switzerland’s ambassador to Thailand.

“This is the first time that the Swiss are interested in doing business in electric tricycles,” Yongyuth said. “Yesterday, they sought information on the approved tricycle models and found that some of their designs do not meet the legal requirements of Thailand. Therefore, the Swiss company would improve the blueprint for the next proposal,” said Yongyuth.

According to the latest report, 19,620 three-wheel vehicles have been registered in Thailand, comprising 1,512 petrol-powered vehicles, 11 diesel, 13,088 LPG, 3,639 LPG-petrol, 1,202 CNG, five CNG-diesel, and 166 electric.

Total car registration nationwide as of August 2020 was 41 million. Of the total, 177,000 are electric cars, divided into 4,799 electric, 161,000 petrol-electric, 11,470 diesel-electric, 30 LPG-petrol-electric, and 75 plug-in petrol-electric.

In 2017-20, there were 16 companies and 26 projects seeking investment promotion benefits from the Board of Investment, totalling production of 560,000 vehicles, of which about 120,000 are electric vehicles. The government aims to produce 750,000 electric vehicles by 2030.

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation.

JMART and JMT shares suffer sharp drop after capital increase announced

EconSep 11. 2020

By The Nation

Stock prices of Jaymart (JMART) and its subsidiary JMT Network Services (JMT) fell sharply in the morning session on Friday after they announced they were increasing their capital.

As of 11.01am, JMART’s stock had dropped by Bt1.30 or 8.44 per cent to Bt14.10 per share, while JMT fell by Bt2 or 6.20 per cent to Bt30.25.

JMART will offer 362.64 million additional ordinary shares to existing investors and a limited group, as well as issuing up to Bt3 billion in bonds, while JMT will offer 464.31 million ordinary shares, 107 million of which will be offered via warrants to existing investors and a limited group of investors.

An analyst at Capital Nomura Securities said JMART’s move to boost capital will pressure its stock price in the short term.

“JMART’s Interest-Bearing Debt to Equity Ratio (IBD/E) is currently 2.6 times, but we expect the company will be able to generate revenue from a joint venture with Korean partners in J fintech within this year.”

The analyst said their securities company had not adjusted its forecast for JMART’s performance, but it may be changed next week.

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation.

Central bank urges market participants to be ready for end of Libor

EconSep 11. 2020Vachira Arromdee, assistant governor of the central bank’s financial markets operations group 

By The Nation

The Bank of Thailand (BOT) has said that the Libor cessation process is both fair and transparent, adding that market participants should be ready for the upcoming change.

Libor, or the London Interbank Offered Rate, is a global key benchmark interest rate that indicates borrowing costs between banks. 

Vachira Arromdee, assistant governor of the central bank’s financial markets operations group, said the termination of Libor at the end of 2021 will bring major change to global financial markets. For Thailand, the discontinuation of Libor poses a significant concern given that US-dollar Libor is used to calculate the Thai baht interest rate fixing (THBFIX), which is widely used as a reference rate for various financial products in Thailand. 

As a result, the BOT will need to cease producing and publishing the THBFIX rates. Libor’s end will also affect the Thai financial market directly through Libor-referenced financial transactions and indirectly through the THBFIX-referenced financial transactions. Though there is a large volume of THBFIX-referenced financial transactions, both cash and derivative products, the impacts of THBFIX’s cessation is expected to be limited. This is because THBFIX-linked loans are proportionately small in comparison to the overall loans, and borrowers are normally capable of adapting to the transition. As for THBFIX-linked derivatives market, the key players are institutional clients which have the capacity to manage the change.

To prepare for THBFIX’s end next year, the BOT will produce the fallback rate for THBFIX (Fallback THBFIX), which it expects to be comparable to THBFIX and used mainly as the fallback rate in THBFIX legacy contracts. At the same time, the BOT has asked all commercial banks to set up a team to manage the transition in a planned and orderly manner. The BOT will closely monitor the progress of Libor-linked and THBFIX-linked contract amendments of all commercial banks. At the same time, the BOT will commence work in various areas to ensure smooth transition.

The central bank has also collaborated with market participants to develop Thai Overnight Repurchase Rate (Thor) as a new reference rate, which reflects local financial market conditions. Recently, Thor has started being used. Going forward, the BOT will put in place a phased development timeline to promote the widespread usage of Thor.

The BOT advises those who have THBFIX-linked loans, bonds or derivatives that will mature after 2021 to study and understand Fallback THBFIX and consult with their banks to amend the reference rate in THBFIX legacy contracts to Fallback THBFIX. It is recommended that contract amendments should be done before the end of 2021. Also, Thor should be studied as it will be the new reference rate of Thai financial market.

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation.

Political uncertainty pulls down SET

EconSep 11. 2020

By The Nation

The Stock Exchange of Thailand (SET) Index fell by 0.27 points or 0.02 per cent, to 1,290.62 in the morning session today (September 11).

An analyst from Krungsri Securities said he expected the index to fall between 1,280 and 1,285 due to lack of positive sentiment.

“The index is also under pressure from the direction foreign indices are taking, falling price of oil and uncertainty over the political situation as student protesters vow to go ahead with their September 19 rally as planned,” the analyst said.

He recommended that investors buy:

• Stocks whose third-quarter performance will improve, such as TU, Asian, Com7, CHG, PTG, PlanB, Tasco and EPG.

• Stocks that benefit from the launch of a new iPhone model on September 15, such as Com7, Synex and SPVI.

SET Index closed at 1,290.89 on Thursday, down 2.51 points or 0.19 per cent. The volume of total transactions stood at Bt42.183 billion with an index high of 1,298.33 and a low of 1,286.15.

SET closed in negative territory yesterday due to uncertainty over the second Covid-19 wave and domestic political situation.

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation.

Gold sentiment improves as dollar weakens, ECB freezes fiscal policies

EconSep 11. 2020

By The Nation

The price of gold was unchanged in morning trade on Friday, the Gold Traders Association reported.

As of 9.26am, the buying price of a gold bar was Bt28,750 per baht weight and selling price Bt28,850, while gold ornaments were priced at Bt28,227.92 and Bt29,350, respectively.

The price of gold rose by Bt200 per baht weight at close on Thursday. The association announced changes in the precious metal’s price seven times.

Hong Kong gold price rose by HK$40, opening at $18,010 (Bt72,716.94) per tael on Friday morning, the Chinese Gold and Silver Exchange Society reported.

Spot gold price moved to US$1,946 (Bt60,888.41) per ounce on Friday morning after the price rose by $9.4 to $1,964.3 per ounce at close on Thursday.

Gold gained positive sentiment from the weakening dollar and the European Central Bank’s resolution to maintain the interest rate and bond purchase limit during the meeting yesterday.

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation.

Mortgage rates slide to record-low 2.86% for 30-year loans

EconSep 11. 2020A potential home buyer is reflected in a mirror during an open house in Columbus, Ohio, on Dec. 3, 2017. MUST CREDIT: Bloomberg photo by Ty Wright. 

By Syndication Washington Post, Bloomberg · John Gittelsohn · BUSINESS, US-GLOBAL-MARKETS 

Mortgage rates in the U.S. dropped to another record low, adding fuel to a housing market that’s been a key source of strength for the pandemic economy.

The average for a 30-year, fixed loan was 2.86%, down from 2.93% last week and the lowest in almost 50 years of data-keeping by Freddie Mac. It was the ninth time since the coronavirus started roiling financial markets that rates fell to a new low. The previous record, 2.88%, was reached in early August.

Cheap mortgages have ignited a housing rebound, driving sales of both new and existing homes and putting money back into the pockets of borrowers who have been able to refinance.

Still, the rally faces challenges from persistent job losses and an inventory shortage that’s pushing up prices, reducing the pool of people who can afford to buy a house.

“Heading into the fall, it will be difficult to sustain the growth momentum in purchases because the lack of supply is already exhibiting a constraint on sales activity,” Sam Khater, Freddie Mac’s chief economist, said in a statement Thursday.

Mortgage rates dipped below 3% for the first time in July and have continued sliding as the Federal Reserve keeps its benchmark rate near zero.

Based on the yield for 10-year Treasuries, which typically guides mortgage rates, borrowing costs could continue sliding, according to Tendayi Kapfidze, chief economist at LendingTree.

“If the spread narrows to where it was before Covid, it can go as low as 2.3%,” he said.

The lower borrowing costs have led to a flood of applications for refinancing and new purchase loans, particularly as Americans look for more space for home offices and remote learning.

Nearly 18 million homeowners with good credit and at least 20% equity stand to cut at least 0.75% off their current rate by refinancing, according to a report this week by Black Knight Inc.

There was pent-up demand for housing when the pandemic hit, with millennials aging into homeownership. But with some sellers reluctant to homes on the market, inventory has been tight.

That’s helped prop up homebuilders, which saw their shares hammered when the coronavirus shut down the U.S. economy. An index that tracks the industry has gained nearly 150% since the stock market hit a bottom on March 23 and is trading close to a record high.

The question is if the housing boom can continue amid the economic fallout from the pandemic. Some potential buyers, eager to take advantage of low rates, might not get approved for loans, while higher prices are exacerbating the shortage of affordable housing.

Higher home prices are starting to erode the benefits of cheaper mortgages, according to George Ratiu, senior economist at Realtor.com.

“For many young, first-time buyers, the shift is reducing affordability, just as they are ready to embrace homeownership,” he said.