Weakening dollar raises questions on baht's direction

By THE NATION

 

 

The baht opened at 30.12 to the US dollar on Monday, weakening from the previous close of 30.04.

 

The Thai currency is likely to move between 29.9 and 30.4 this week and between 30.05 and 30.25 on Monday, said Jitipol Puksamatanan, senior director of the chief investment office at SCB Securities.

 

Last week, the baht strengthened to Bt30 to the US dollar, raising concerns in the market about the currency’s direction in the future.

 

This week, Jitipol advised investors to monitor capital flows. He added that if the market believed that the US would issue fiscal policies to support the economy next year, the purchasing power would increase for the Thai currency and bond.

 

Another issue to monitor this week was a meeting of the Federal Open Market Committee (FOMC). The meeting result will be announced on Thursday. Observers expect the FOMC to freeze the US interest rate at 0 to 0.25 per cent.

 

In addition, China’s economic numbers would be revealed on Tuesday, while the Bank of England and Bank of Japan will hold their committee meetings on Thursday and Friday respectively.

 

Jitipol predicted that the US currency would weaken this week. The dollar index this week would tend to move between 90.2 to 91.2 points from the present 90.9 points.

 

Source: https://www.nationthailand.com/news/30399561

 

 

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UP...its always..UP, never mind what happens here

or in the rest of the World it seems.

regards Worgeordie

Good news.

It's just amazing to see baht at 30 in Covid19 time , if you ask me it's not free floating but manipulated hard..., it must effect their export and competitiveness.... 

It was only at these levels last year this time and then in 2013...

Edited December 14, 20205 yr by Agusts

2 hours ago, worgeordie said:

UP...its always..UP, never mind what happens here

or in the rest of the World it seems.

regards Worgeordie

When the trough is constantly replenished with Baht, it makes sense to keep it high so the snouts can buy cheap dollars!

The baht opened at 30.12 to the US dollar on Monday, weakening from the previous close of 30.04

The Thai currency is likely to move between 29.9 and 30.4 this week and between 30.05 and 30.25 on Monday, said Jitipol Puksamatanan, senior director of the chief investment office at SCB Securities.

 

Is this the same overpaid, useless clown that says it could go up or down every week ? 

Just now, PatOngo said:

it makes sense to keep it high so the snouts can buy cheap dollars!

Pray tell, what artificial means are they using to keep it high? It's staying high because the Thai economic fundamentals are very sound (tho' the 2021 economy may affect this ). If they had artificial means at hand, they'd be adjusting matters to support the export markets.

3 minutes ago, JimGant said:

Pray tell, what artificial means are they using to keep it high? It's staying high because the Thai economic fundamentals are very sound (tho' the 2021 economy may affect this ). If they had artificial means at hand, they'd be adjusting matters to support the export markets.

Ok Jim. 

49 minutes ago, JimGant said:

Pray tell, what artificial means are they using to keep it high? It's staying high because the Thai economic fundamentals are very sound (tho' the 2021 economy may affect this ). If they had artificial means at hand, they'd be adjusting matters to support the export markets.

 

Many governments and central banks around thre world control and manipulate their currency, are you saying it's not possible...!? ????

With all the Western Central Banks printing money and trashing their currencies something has to go up.  The US will expand their printing, in my opinion, so it is time to buy gold and Bitcoin.

1 hour ago, JimGant said:

Pray tell, what artificial means are they using to keep it high? It's staying high because the Thai economic fundamentals are very sound (tho' the 2021 economy may affect this ). If they had artificial means at hand, they'd be adjusting matters to support the export markets.

Exactly... .Because of expected stimulus American bond yields are going down which strengthens outflows. Thailand's interest rate is low.. but still higher than the US.. which attracts inflows.  Even the $Au is on the way up at the moment.. for the same reasons.. Blaming the Bhat's rise on manipulation is just plain conspiracy theory.. 

They already know it is moving?  why not just move it to 35 -1 USD set it and call it a day and work around that number?  ????

Some of you have some strange ideas about how currencies work.

Better to lose Mekong waters, and gain submarines, bullet trains and those sweet mysterious foreign inflows at BoT.

20 minutes ago, Isaan sailor said:

Better to lose Mekong waters, and gain submarines, bullet trains and those sweet mysterious foreign inflows at BoT.

How are they mysterious? They are available for viewing by interested parties?

The  Baht  has  risen against the $US no more or less  than currencies of perceived  safe haven  value or gold.

The reality of it is that the US$ is an imposed exchange comparison  that has no genuine value  at  all !

Given the multiple trillions  printed  by the US  it would have almost no  value at all if the  Gold Standard was still in effect. For the  majority serviceable "debt" is now the measure of relative wealth.

Why do  you think  Bezos  laughs  like  a freakin  demon?

 

10 minutes ago, Dumbastheycome said:

The  Baht  has  risen against the $US no more or less  than currencies of perceived  safe haven  value or gold.

The reality of it is that the US$ is an imposed exchange comparison  that has no genuine value  at  all !

Given the multiple trillions  printed  by the US  it would have almost no  value at all if the  Gold Standard was still in effect. For the  majority serviceable "debt" is now the measure of relative wealth.

Why do  you think  Bezos  laughs  like  a freakin  demon?

 

Bitcoin seems to be more of an endeavor as more money continues to be printed..again..and again. If, I can recall, there isn't even a 'gold standard' to back the dollar. But that has been for years..Correct me if I'm mistaken..

14 minutes ago, Solinvictus said:

Bitcoin seems to be more of an endeavor as more money continues to be printed..again..and again. If, I can recall, there isn't even a 'gold standard' to back the dollar. But that has been for years..Correct me if I'm mistaken..

 

No, there is no gold to back the dollar.

 

If some country were to have an international gold-backed currency, the dollar would crash hard.

 

They are just making money out of thin air.

 

 

15 minutes ago, Solinvictus said:

Bitcoin seems to be more of an endeavor as more money continues to be printed..again..and again. If, I can recall, there isn't even a 'gold standard' to back the dollar. But that has been for years..Correct me if I'm mistaken..

Perhaps  research the  history of the move to the US$, the  history of  Fort Knox, and how historically  the US   coerced the world into the  debt  scenario it  controls  to this day, how it  has  suppressed attempts  to  return to a  gold trade standard, and how  China is threatening that control.

6 hours ago, Agusts said:

 

Many governments and central banks around thre world control and manipulate their currency, are you saying it's not possible...!? ????

It’s not impossible but it is difficult, expensive and comes with other unintended consequences.

6 hours ago, Agusts said:

 

Many governments and central banks around thre world control and manipulate their currency, are you saying it's not possible...!? ????

 

Buying your own currency on International markets is not manipulation in the way you're claiming

 

12 hours ago, Traubert said:

Some of you have some strange ideas about how currencies work.

I agree!  living here does that to a person you read their leaders comments one day it is too high, so after a few days it starts to move in the other direction,  then the B.O.T. steps in and once again it moves the other way, the place is going to hell and they tell you the world is pouring money into Thailand " a safe short term investment " then the next day they tell you it was all " speculation "?

Whatever way it suppose to work after a while it is just a blurred?????????  my school days I barely got by Econ 101 today it is the same?????

On 12/15/2020 at 8:13 AM, thailand49 said:

I agree!  living here does that to a person you read their leaders comments one day it is too high, so after a few days it starts to move in the other direction,  then the B.O.T. steps in and once again it moves the other way, the place is going to hell and they tell you the world is pouring money into Thailand " a safe short term investment " then the next day they tell you it was all " speculation "?

Whatever way it suppose to work after a while it is just a blurred?????????  my school days I barely got by Econ 101 today it is the same?????

Thailand is manipulating it's currency.

 

https://thethaiger.com/hot-news/economy/us-treasury-mulls-putting-thailand-on-its-watchlist-as-a-currency-manipulator

 

10 hours ago, Leaver said:

Thailand is manipulating it's currency.

 

https://thethaiger.com/hot-news/economy/us-treasury-mulls-putting-thailand-on-its-watchlist-as-a-currency-manipulator

 

Yes, I've known for sometime but I hesitate to come out and state exactly that reason I don't want certain people who have their head in the sand quoting me and make statements or " you got any proof " so I kind of make a joke about it.

Below 30 a dollar today... ! They think it's Xmax and high season as usual and tourists are pouring in, so push it down like last year this time....!? lol 

Baht at 7-year high on USD.  I hope they’re satisfied now.  Or will they shoot for an 8-year high?

Edited December 17, 20205 yr by Isaan sailor

4 hours ago, Isaan sailor said:

Baht at 7-year high on USD.  I hope they’re satisfied now.  Or will they shoot for an 8-year high?

 

Purely down to huge inflows of money and record foreign currency reserves

Quite capable of going to 28

We can only be thankful that for now Sterling/Dollar is at $1.35 because if a no deal Brexit emerged that could well go to $1.20

With Dollar/Baht at 29.88 at time of post that will put Sterling/Baht at......35.8 ouch

The N.Z.$ SEEMS TO BE PICKING UP STEAM

On 12/14/2020 at 1:16 PM, Agusts said:

It's just amazing to see baht at 30 in Covid19 time , if you ask me it's not free floating but manipulated hard..., it must effect their export and competitiveness.... 

It was only at these levels last year this time and then in 2013...

Do some real research, the bhat is getting stronger because most western countries have done a horrible job of controlling the virus thus endangering there economies. People are putting a lot of money into the Thai bond market as well as the Thai stock market, because Thailand is being looked at as a strong economy because they have controlled the virus.

Start looking at it as the Thai bhat is stronger and the dollar is weaker as opposed to the knee jerk reaction that it is being manipulated. A bit of education is golden