Baht depreciation

C

Cent

FORUM SPONSOR
THE EXPECTED policy-rate increase by the US Federal Reserve next month would result in the baht deprecating for at least two quarters consecutively, and Thai companies that plan to raise finances from bonds would face rising funding costs, according to Bank of Ayudhya (Krungsri).
The market predicts that the Fed will increase its benchmark interest rate by 25 basis points in December, and Krungsri has the same view, said Tak Bunnag, head of the bank’s Global Markets Group.
The bank expects the Fed will rise the policy rate twice in 2017, ending up at 1 per cent from 0.25 per cent currently.
Tak forecast that a rate increase would result in the baht depreciating over the next two quarters before turning to appreciation in the second half of next year after the market sees clearer policies from US President-elect Donald Trump.
The baht against the dollar at the end of this year is expected to be 35.75.
Follow the link for the rest:

http://www.nationmultimedia.com/news/business/investment_finance/30300862
 
Let's hope Sterling hangs on to your shirt tails !
 
Given that the US$ is currently Bht 35.635, the increase to the expected 35.75 by the year end is not a significant "devaluation" (IMO). What about June 2017?
 
CO-CO said:
Let's hope Sterling hangs on to your shirt tails !
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Nothing wrong with positive thinking Co-Co but you know quite well the pound is not influenced by USD fluctuations.
The British pound has always failed to capitalise on US dollar weakness and will again, not capitalise on a increase.

 
Rice said:
Nothing wrong with positive thinking Co-Co but you know quite well the pound is not influenced by USD fluctuations.
The British pound has always failed to capitalise on US dollar weakness and will again, not capitalise on a increase.
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No problem Rice, it is edging up anyway. :)
 
Yorky said:
Given that the US$ is currently Bht 35.635, the increase to the expected 35.75 by the year end is not a significant "devaluation" (IMO). What about June 2017?
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Everything I've seen lately predicts around 36.7 by mid to late 2017. If you remember just a couple years ago it was quite low for the USD/Baht exchange. There's been a gradual increase the past 2 years. I've always said I think 38 is the true exchange rate these days.
 
Cent said:
Everything I've seen lately predicts around 36.7 by mid to late 2017. If you remember just a couple years ago it was quite low for the USD/Baht exchange. There's been a gradual increase the past 2 years. I've always said I think 38 is the true exchange rate these days.
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From exactly two years ago...
 
Acquaintance went to bank to exchange $100 notes today and received just under B30 xe. :cry:

Prior I advised him to sell his wife's gold jewelry as there's been a bounce in gold towards US$1500 but...but...but...

Merry Christmas.;;red heart;;
 
US$ hasn't been this low since 2014.
The bank will xe at 29.8 if you're lucky.
Happy new year ! :mask:
 
Last edited:
At 29.69
Bank of Thailand explains sudden appreciation of Baht
National
Dec 31. 2019
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Mathee Supapongse


By THE NATION

Mathee Supapongse, Deputy Governor of the Bank of Thailand, said on Tuesday (December 31) that the appreciation of the Thai Baht on the evening of December 30 to below 30 to the US dollar was out of line with its economic fundamentals.
The move was mainly prompted by certain corporations and investors trading in what he described as thin market conditions, which caused an imbalance of FX flows and a spike in volatility. The USD depreciation against regional currencies also contributed to the move. The average reference rate (THBREF) for the day was Bt30.121 to the US$.

Better market conditions and more balanced flows will resume after the New Year holidays. The BOT will closely monitor the market and act as necessary to steer the exchange rate back into line with Thailand’s economic fundamentals.
 
Coffee said:
Can you believe that line of BS...:rolleyes:
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You just can not believe a single word they say or trust the courts in any way, of a rule of law.
They will drag the economy down to its knees. I bet the mega hiso's are hurting already.
This is when the machinations of Machiavellian politics will start. :oops:
 
For those that are worried about a sub-30 exchange rate , pounce on the xe 30.28 or 30.10 bank currently trending.
 
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