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Baht weakens after hitting Bt29/dollar

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25 minutes ago, Laza 45 said:

Interesting point.. but I haven't seen that the US is considered a safe haven.. At Christmas when the markets took a break money flowed to Thailand not the US.. I hope I'm wrong but this could see the Bt strengthen..   The big dip in the graphs below is the Christmas market break..  first Thailand.. the 2nd the US..

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USD certainly is regarded as a safe haven currency by virtue of it being a key reserve currency although so are a range of other currencies, USD being the major one. The table in the link below shows the percentages of each: https://en.wikipedia.org/wiki/Reserve_currency

 

Re Graphs: I'm curious to see how those year end graphs compare with the average month end graphs, I imagine any month end will see a similar pattern although no to the same extent.

 

EDIT: forget it, I just looked, it doesn't!

Edited by saengd

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  • Just1Voice
    Just1Voice

    I'll be happy when it his 40 to the dollar. lol  

  • TheAppletons
    TheAppletons

    No.  It means the markets opened again after the New Year and after everyone had sold off their holdings to lock in profits (or losses, for tax purposes) for 2019 on the last day of the year.  Today,

  • Looking forward to 25. That plus rising prices in Thailand will really make some of you moan.   At some point it won’t make financial sense to be here if this trend continues.

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2 hours ago, saengd said:

it would erase the current account surplus and it would help Thai exports. It might just be that a strengthening of USD will accomplish some of that.

...it would help Thai exports.. and everybody else's if the $US strengthened.. but it would exacerbate the trade imbalance ...not only with Thailand but all of the US's trading partners.. an unintended consequence that Trump would not be happy with..  you would get more Bt for your $US  .. I might even get a bit more for my $Au & my Canadian $.. Still.. early days it will be interesting to see how this plays out.. I just hope it doesn't lead to a free for all war in the Middle East..

23 hours ago, cnx101 said:

And 60 to the pound I’ll be happy too

80 I’ll be more happy 

Baht still too high to compete for exports, and for tourists.

On 1/4/2020 at 5:44 AM, saengd said:

The big dip in the graphs below is the Christmas market break

generally speaking, especially during Holidays or Sundays, do not attach too much meaning to a 0.5 % fluctuation in a "small" currency.
During these hours there being no market liquidity, it only takes little effort, albeit probably some cohersion, to create the visible impression of a rate "move", trigger a limit, cash in a position, and after that go back to the weekend.
Do not think that is impossible, I have been triggered after-hours (not even a weekend) on stop limits at far out major currency futures prices that were almost one figure away from where the price should have been.
So imagine which of the true 24/7 market participants would monitor Thai Baht during Christmas?

Edited by KKr

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