BOT chief says baht will stay secure

[snoop1130]

BOT chief says baht will stay secure

By The Nation

 

 

Bank of Thailand (BOT) governor Veerathai Santiprabhob vowed on Friday to keep the baht secure against the weakened US dollar and said the baht and other regional currencies would regain strength more quickly than normal.

 

“The BOT is ready to review additional measures to safeguard the baht against any abnormal currency movements,” he said.

 

The baht on Friday opened at 31.44 per US dollar, a 50-month high going back to October 2013. It also trade Bt31.35 per US dollar in this morning.

 

Source: http://www.nationmultimedia.com/detail/Economy/30337219

 

-- © Copyright The Nation 2018-1-26

[Chang_paarp]

I hope he realises that the US calls this currency manipulation.

[lovelomsak]

Does anyone think he is anything like the Prime Minister. If he is then the baht should drop some right. Everything the PM says ends up being a lie so lets hope he lies also and the baht drops 

[coulson]

The BOT should understand that is currency manipulation

[smedly]

the only reason the baht is being manipulated high is so that certain influential people and organisations can continue to invest overseas, it does absolutely nothing good for the Thai economy 

[Will E Vormer]

They are all buying property in London and Somerset on a weak pound

Sent from my SM-G950F using Tapatalk

[eisfeld]

Quote

the baht and other regional currencies would regain strength more quickly than normal

 

Wasn't the problem that the Baht was too strong? They wanted it to weaken... didn't see anything like that happen.

 

In reality:

 

 

[Thechook]

The baht seems indestructible and the strongest currency in the world.  Whilst all other currencies are fluctuating the Thai baht is growing stronger and going up and up.

[pokerface1]

He's throwing down the gauntlet....If the global currency speculators pick it up he may have big regrets.  

[RichardColeman]

As a UK citizen using the pound the cycle to me lately seems :  

Bad Brexit news - pound down against Baht.

Good Brexit news - no change

Bad UK economy news - pound down against baht.

Good UK economy news - no change

 

Or put another way : 

Good Thailand economy - baht up

Bad Thai new economy - no change.

 

Don;t have to be a rocket scientist to see some manipulation somewhere.

[the guest]

Currency manipulation has been going on for years, orchestrated by those that profit the most ... the 1%

Hopefully the USA and others will start the ball rolling in penalizing the country, which continues to push their luck.

[BuaBS]

Beter view :

[smedly]

36 minutes ago, RichardColeman said:

As a UK citizen using the pound the cycle to me lately seems :  

Bad Brexit news - pound down against Baht.

Good Brexit news - no change

Bad UK economy news - pound down against baht.

Good UK economy news - no change

 

Or put another way : 

Good Thailand economy - baht up

Bad Thai new economy - no change.

 

Don;t have to be a rocket scientist to see some manipulation somewhere.

generally yes brexit does cause some movement but it is not as much as you might think and you need to watch more than one currency to see what is going on

 

if you follow other currencies against sterling you will see that it is in fact the Thai baht that has strengthened recently, in other words the baht has gained considerably against the Euro USD and GBP recently, GBP has held its own against Thai baht because it has also gained, USD has dropped over the same period

 

https://www.bloomberg.com/news/articles/2017-06-19/thai-firms-bypass-military-government-to-invest-record-abroad

Edited January 27, 2018 by smedly

[Ulic]

Thailand needs to redouble its efforts to lower its foreign account surplus raised by

foreign tourists travelers and exports. More submarines, more tanks, more fighter jets,

more high-speed trains etc....etc.....When the bills finally come in for these trough

fillers the baht will probably weaken, but the Thai government needs to purchase more

from abroad.  

 

[Cake Monster]

Confirmation from the horses mouth that the BOT manipulates the Baht against other world currencies.

Something that has been speculated upon for years, and now has been confirmed.

[Sir Dude]

Quote

Bank of Thailand (BOT) governor Veerathai Santiprabhob vowed on Friday to keep the baht secure....

Yes, until the likes of CP and all the other elites have finished acquiring assets overseas...then he will get a phone call and be told what to do next.

[simoh1490]

11 minutes ago, Cake Monster said:

Confirmation from the horses mouth that the BOT manipulates the Baht against other world currencies.

Something that has been speculated upon for years, and now has been confirmed.

The BOT has always intervened in the forex markets, that's what a managed peg is for. Sadly for your theory however, that intervention has traditionally been to stop THB from rising, not to make the wealthy people even more wealthy!

[simoh1490]

1 minute ago, Sir Dude said:

Yes, until the likes of CP and all the other elites have finished acquiring assets overseas...then he will get a phone call and be told what to do next.

Sadly, I think you actually believe that!

[Sir Dude]

1 minute ago, simoh1490 said:

Sadly, I think you actually believe that!

Ah, yes, sorry...I forgot that it's all played straight down the middle here and there is no interference at all when it comes to stuff like this. What was I thinking? 

[Thian]

20 hours ago, smedly said:

the only reason the baht is being manipulated high is so that certain influential people and organisations can continue to invest overseas, it does absolutely nothing good for the Thai economy 

A strong baht buys more oil which is needed for all the traffic jams in BKK and the pollution.

 

Last year Thailand said the baht would lower against the us$, it only got stronger since then.

[khunken]

20 minutes ago, Sir Dude said:

Ah, yes, sorry...I forgot that it's all played straight down the middle here and there is no interference at all when it comes to stuff like this. What was I thinking? 

Simoh is 100% correct. The BOT is one of the few independent agencies here and not even Thaksin could manipulate it. The current Finance Ministry have been voicing their opinion that the Baht is too strong but if the BOT interferes in the currency markets to weaken the Baht, they will get even more flak from the US which has been saying that the Baht should be stronger.

The reason it's so strong is (a) the US$ is so weak; (b) foreign bond purchasers ahve been ploughing money into Thailand & (c) tourists have been bringing more & more foreign currency into the country.

Most expats think that the currency is too strong as it affects their money transfers & so the conspiracy theories abound.

Edited January 27, 2018 by khunken

[simoh1490]

1 minute ago, Thian said:

A strong baht buys more oil which is needed for all the traffic jams in BKK and the pollution.

 

Last year Thailand said the baht would lower against the us$, it only got stronger since then.

The fact the Dollar weakened to a three year low wouldn't have anything to do with that would it!

[simoh1490]

1 minute ago, khunken said:

Simoh is 1005 correct. The BOT is one of the few independent agencies here and not even Thaksin could manipulate it. The current Finance Ministry have been voicing their opinion that the Baht is too strong but if the BOT interferes in the currency markets to weaken the Baht, they will get even more flak from the US which has been saying that the Baht should be stronger.

The reason it's so strong is (a) the US$ is so weak; (b) foreign bond purchasers ahve been ploughing money into Thailand & (c) tourists have been bringing more & more foreign currency into the country.

Most expats think that the currency is too strong as it affects their money transfers & so the conspiracy theories abound.

Indeed, and add to that exports that are continuing to grow and when they're paid for, that foreign currency gets exchanged for Baht which strengthens the currency even more.

[Dumbastheycome]

5 minutes ago, simoh1490 said:

Indeed, and add to that exports that are continuing to grow and when they're paid for, that foreign currency gets exchanged for Baht which strengthens the currency even more.

It  is  exactly  that. Prior to the  Junta  takeover 2012/ 2013 the  Thai economy  was  suffering and  in decline  due to external influences  mostly.

Despite widespread negative opinion about the current Government Thailand  has  experienced  steady and  sustained  economic  growth over the  last  4  years.

Internal  spending has helped offset the decline  in export  income on which the  strong Thai  Baht has a  negative   effect  despite increases  in  volume.

If  the   BOT  were  to  be  given license  to manipulate  then  the  single  biggest  boost  they  could  do would  be to  drive  the   Baht  down. But in  adhering  to  international  convention  they  do  not.

It  is  the  fluctuations/declines  in major  western  currencies that  impact those  who are  despondent  here..

It  is  not  difficult  to   search out independent financial  charts comparing  international  currencies  over  many  years. 

There  is  only  one  currency  that  has  maintained an  artificial  value despite  the printing  of   multiple trillions  of  new  paper.

And  that is  certainly   not  the  Thai  Baht !

 

[Dumbastheycome]

5 minutes ago, simoh1490 said:

Indeed, and add to that exports that are continuing to grow and when they're paid for, that foreign currency gets exchanged for Baht which strengthens the currency even more.

It  is  exactly  that. Prior to the  Junta  takeover 2012/ 2013 the  Thai economy  was  suffering and  in decline  due to external influences  mostly.

Despite widespread negative opinion about the current Government Thailand  has  experienced  steady and  sustained  economic  growth over the  last  4  years.

Internal  spending has helped offset the decline  in export  income on which the  strong Thai  Baht has a  negative   effect  despite increases  in  volume.

If  the   BOT  were  to  be  given license  to manipulate  then  the  single  biggest  boost  they  could  do would  be to  drive  the   Baht  down. But in  adhering  to  international  convention  they  do  not.

It  is  the  fluctuations/declines  in major  western  currencies that  impact those  who are  despondent  here..

It  is  not  difficult  to   search out independent financial  charts comparing  international  currencies  over  many  years. 

There  is  only  one  currency  that  has  maintained an  artificial  value despite  the printing  of   multiple trillions  of  new  paper.

And  that is  certainly   not  the  Thai  Baht !

 

[simoh1490]

Here's an explanation that may help some of the emoticon clickers understand what they are seeing and why:

 

 

[Mac98]

The investor class knows how to read these announcements. If a strong baht is predicted, that's to hold up the price while the big boys get out. Then after the fall, a further weakening will be predicted to hold the price down while the big boys buy back in. Around and around it goes, guaranteed income for life. 

[simoh1490]

26 minutes ago, Mac98 said:

The investor class knows how to read these announcements. If a strong baht is predicted, that's to hold up the price while the big boys get out. Then after the fall, a further weakening will be predicted to hold the price down while the big boys buy back in. Around and around it goes, guaranteed income for life. 

You make it sound like you're a victim, perhaps in reality of not understanding economics!

[Mac98]

1 minute ago, simoh1490 said:

You make it sound like you're a victim, perhaps in reality of not understanding economics!

If we all understood economics would we all be rich? I just believe that the rich getting richer isn't all from good luck and hard work. Such as rich Americans getting a huge tax cut while the rest got a small, temporary cut, or nothing at all.

[simoh1490]

1 minute ago, Mac98 said:

If we all understood economics would we all be rich? I just believe that the rich getting richer isn't all from good luck and hard work. Such as rich Americans getting a huge tax cut while the rest got a small, temporary cut, or nothing at all.

Conspiracy theories about the Baht have been promoted by expats in this forum for years, they simply don't understand currency markets and try to cover that fact up by claiming manipulation by the elites - study the subject even a little bit and you'll realise it isn't so and you'll stop making silly arguments! A currency becomes stronger because it is in demand and people buy it, when the economy of a country is based on exports (which get paid for in USD which is then sold and converted to Baht), tourism (where tourists sell their home currency to but Baht), Foreign Direct Investment (where investors buy  baht to invest in business) and hot money (where overseas investors but bonds and invest in the SET), there's only one possible course for that currency and that is upwards.

 

US tax cuts are off topic.