Baht slides as foreign holders sell currency amid worries about weakness

[rooster59]

Baht slides as foreign holders sell currency amid worries about weakness

By THE NATION

 

 

The baht opened at 31.11 to the US dollar on Friday morning (July 3), weakening from Thursday’s close of 31.09.

 

 

The Thai currency is expected to move between 31.02 and 31.22 on Friday, said Jitipol Puksamatanan, head of Markets Strategy at SCB Securities.

 

On Thursday night, the financial markets in the US rose after economic numbers in its labour market pointed to a partial economic recovery.

 

The S&P 500 increased by 0.5 per cent, while Euro Stoxx 600 recovered by 2 per cent due to investors expecting the European Central Bank (ECB) to be supported by the German and French governments.

 

The US nonfarm payroll increased by 4.8 million positions, lowering the unemployment rate to 11.1 per cent from 13.3 per cent last month. Most of the new employment, or 2.08 million positions, was in tourism and recreation industries.

 

The US Ten-Year Treasury yield stayed at 0.66 per cent, with a hope that the Fed would issue policies to control the yields in the long term. Meanwhile, the German and Italian Ten-Year Treasury yields decreased to minus 0.43 per cent and minus 1.20 per cent, respectively, since investors expected the monetary policies of the ECB to be more relaxed.

 

In the financial markets, the dollar recovered by 0.1 per cent because of the economic recovery. At the same time, the baht was sold by foreign holders, due to concerns the currency is weakening amid the strengthening of other currencies in Asia.

 

Source: https://www.nationthailand.com/news/30390721

 

-- © Copyright The Nation Thailand 2020-07-04

 

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[Trillian]

Not exactly a slide, more of a twitch!

 

Month end is typically a time of exaggerated currency pair movements, especially when there is a weekend AND a significant holiday (causing market closure) looming. 

 

There's no news here I'm afraid to say.

[JRG23]

Why does this bloody happen just at the beginning of the month and after pay day!! Aghhh!

[Henryford]

0.02 satang, a real slide !!

[Pib]

3 hours ago, Trillian said:

There's no news here I'm afraid to say.

Yeap...zero real news.  But it does serve as "click bait" news which more and more news websites try to survive on now days.  

[hotchilli]

3 hours ago, Trillian said:

Not exactly a slide, more of a twitch

I wouldn't even call that a twitch.

[Laza 45]

$Au up from 21.17 June 23 to 21.59 at close yesterday.. so up 42 points.. an extra 420 Bt on a $1,000 Au.. at least it is in the right direction.  Lets see what happens on Monday.. 

[Brunolem]

Amazing that there are still people paying attention to the employment BS provided by the aptly named BLS (L stands for labor, B and S stand for...well...).

 

And don't even mention the EU basket case. 

 

The baht will rise back as soon as the Western hype will dissipate... 

[Isaan sailor]

BoT doesn't do enough to control the Baht.  They don't care if exporters go down the toilet.

[nauseus]

48 minutes ago, Laza 45 said:

$Au up from 21.17 June 23 to 21.59 at close yesterday.. so up 42 points.. an extra 420 Bt on a $1,000 Au.. at least it is in the right direction.  Lets see what happens on Monday.. 

AUD up a bit v USD is the main reason for that.

[digger70]

8 hours ago, rooster59 said:

Baht slides as foreign holders sell currency amid worries about weakness

Slides where , Still on the top platform of the Slippery Slide . 

Not even worth mentioning . Still only THB21.590 per  $ AU  as from closing Yesterday. 

 

[Burma Bill]

5 hours ago, JRG23 said:

Why does this bloody happen just at the beginning of the month and after pay day!! Aghhh!

Yes indeed, and I have noticed this happening over several years. As soon as pensions day approaches the baht dips and once credited to my account then gains value! Money grabbing bankers!!!

[samsensam]

5 minutes ago, Burma Bill said:

Yes indeed, and I have noticed this happening over several years. As soon as pensions day approaches the baht dips and once credited to my account then gains value! Money grabbing bankers!!!

 

it's Sod's Law, nothing to do with bankers... 

[CNXexpat]

20% of the Thai economy (the tourism) what brings foreign money in the country is not existing, imports where the government makes a lot of money with customs is down,  foreigners don´t buy real estates - I don´t understand that the Baht is still so high. 

[ThaiFelix]

Slide??  Must be desperate for news!

[Postmaster]

Another misleading article

[MikeN]

9 hours ago, Laza 45 said:

 

$Au up from 21.17 June 23 to 21.59 at close yesterday.. so up 42 points.. an extra 420 Bt on a $1,000 Au.. at least it is in the right direction.  Lets see what happens on Monday.. 

As Monday is a public holiday, probably nothing will change from close of business Friday.

[JensenZ]

14 hours ago, Trillian said:

Not exactly a slide, more of a twitch!

 

Month end is typically a time of exaggerated currency pair movements, especially when there is a weekend AND a significant holiday (causing market closure) looming. 

 

There's no news here I'm afraid to say.

It's absurd to call this news and call that a slide. As you say, it's a blip.

Edited July 4, 2020 by JensenZ