Why, why why is the Thai Baht still very strong 13 November 2020

[Barnabe]

1 hour ago, moontang said:

Thai personal debt is horrendous, and with wages about an eighth of the US, it isn't like they can just decide to save more.

My post refers to the countries finances, not personal. And I’m not convinced Americans have less personal debt % wise than Thais...

[DaLa]

On 11/13/2020 at 4:14 PM, jwest10 said:

Why is the Thai Baht still very very strong despite apparently  with a lot of reserves going out of the country, next to no tourist income and thousands upon thousands losing their income.
Someone is manipulating the currencies of the world and making a fortune.
Can anyone enlighten me and yes some other currencies are weak, also but why is the British pound now below th e 40 Bant mark and a decade ago 73 to the pound.
Also the local economy is really struggling and Thai exporters as well as the local community really struggling.

So that I as an importer find it cheaper to import my goods.  Only buy foreign goods then you'll be ok.????

[Pravda]

Hilarious. 

 

Another Brit complaining his beer at 7/11 is getting more expensive. It's not just a British pound. My Canadian dollar is at all times low. I expect British pound to be 20 baht and Canadian dollar 10 baht in about 10 years. 

 

Here are 3 reasons for the OP why should he sell his worthless currency. 

 

1) The amount of manufacturing in Thailand is insane. What does Britain produce besides whining expats? How is any of you on pension being productive at all? No social security in Thailand. Thais work until they die. You sit on barstool and complain while collecting dole from UK

 

2) Pandemic bailout. 

 

How much money did Thais receive for losing their job? 6000 baht. In Canada (and I'm sure it's quite similar in UK) 8 months on and people are still receiving 2000 bucks a month. Thailand can afford 100 submarines with money saved while letting people starve. 

 

3)

 

All the money the great country of British commonwealth gives you goes straight into Thai economy. How many Thais are supporting your mum and Buffalo back in Kent? Yep. Say goodbye to your paper currency as baht is the new gold standard.

 

Insert 4, 5, 6, 7 and 8. I could but can't be bothered. 

 

SELL GBP HODL BAHT

 

 

 

 

[EricTh]

@jwest10

 

The real reason is that huge funds from mainly USA are plowing into Thailand and other Asian countries to invest in their stock market.

 

There are rich fund managers with huge fund in the western world such as George Soros.

 

They aren't really currency manipulators, it's just a matter of supply and demand, they want to buy huge amount of Baht so the price goes up.

 

It has nothing to do with imports and exports as stated by somebody in the past which constitute only a small portion of traditional economics.

 

Bank of Thailand can't manipulate currency because they are being watched by the US.

Edited November 15, 2020 by EricTh

[CharlieH]

Reported inflammatory remark removed.

[EricTh]

In textbooks we all learned that balance of trade affects exchange rate but in reality, it doesn't work that way.

 

If we follow the textbooks, the Thai baht would have plummet due to poor economy.

 

In reality, it is the international fund managers moving huge funds that determine the exchange rates more than balance of trade.

 

Currency is just like a commodity to some fund managers, they buy and sell them to affect the price. 

 

Edited November 15, 2020 by EricTh