Thai baht remains strong, why?

[Stevemercer]

The Thai Baht should be drifting downwards on the back of the Government's rapidly increasing debt burden and the current account moving into deficit.

 

However, Thailand's debts can be managed so long as hot money continues to flow in and investors buy up Government bonds and Baht.

 

The Government is in a bit of a catch 22 now. Ideally, it should let the Baht drift down to ease the burden on exports. But it needs the Baht to stay high to cover Thailand's debt.

 

The Baht will stay strong against other currencies for at least the next 12 months. I don't think the Government has any other choice now.

[SomchaiCNX]

2 hours ago, Bangkok Barry said:

 

Yep! My income from the UK dropped around 20% in value overnight ☹️

But you could sell the land you bought when the Pound was 60+. If you sell it now and change back to the Pound you would gain 3 to 400 % if not more. 

[hobobo]

6 hours ago, chicowoodduck said:

Good Lord..... next up asking TV members for medical advice! ????????????????

I've asked a couple of times... never been disappointed

[sirwilly]

6 hours ago, Ventenio said:

people make billions trading the baht.  why would there be transparency?  an econ degree will let you understand the market?  only in hindsight you will be able to say something that might not sound dumb.

 

my job is to get you to think it will crash as i keep buying and get rich.   

 

i could tell you about a chinese firm who is buying baht and selling 19 other currencies while also buying 3 other ones while also selling 28 other ones and buying 17 other ones and that everything they do is secret.  

You are right all the fiddling buggers trading  LOL

[Bangkok Barry]

37 minutes ago, SomchaiCNX said:

3 hours ago, Bangkok Barry said:

 

Yep! My income from the UK dropped around 20% in value overnight ☹️

But you could sell the land you bought when the Pound was 60+. If you sell it now and change back to the Pound you would gain 3 to 400 % if not more. 

 

What you say makes sense. I bought a house and 1.1 rai when the baht was in the toilet and that worked out at about 9000 sterling. I spent twice as much modernising and extending the house and it's worth about 90,000 sterling now. All that might buy me in the UK though is a beach hut.

[rupert the bear]

hi steve back to basics,covid,the economy compared to others is functional on may levels,its a comparative structure we all know many people are hurting and out of work,but....look around you and then speak to your friends in USA oz EU etc and see whats going on there.

[allanos]

I am not so sure about the OP's wish that only an economist answers his question.  Pose a question to two economists in a room, and you will get three different answers!

 

In general terms, currencies worldwide are a reflection of dollar strength. Around 85% of world trade is conducted in USD, although the United States only accounts for around 25% of this, itself.

 

So, take a look at the Dollar Index (DXY), which is a function of dollar strength against a basket of 6 or 7 of the world's leading currencies.  You will note that it has fallen by around 10% over the past several months, and for anyone who has a grasp of chart-reading, one will see that it is in a downtrend, with lower highs and lower lows.

 

Thai Baht resilience is strong on the back of a weaker dollar.

[EricTh]

This has been discussed to ad nauseam, please read previous threads.

[JohnB1945]

A low baht will aid exports (badly down at present) but will make imports expensive; but how many Rolex watches and BMWs do the Rice farmers buy?

A high baht will damage exports, but make imports cheap. BMWs and Rolexes cost less and money shipped abroad is worth more in GBP, USD or whatever.

 

So it depends on who you want to be nice to - rice farmers or the BMW/Rolex crowd.

[Grundy1927]

3 hours ago, Kwasaki said:

OK for those here who don't understand my point.

Brexit or no Brexit when has the Euro bought more baht than the £.

This is about strong baht currency £ was 37-38 for a long while, now at the moment around 41 why that is I have no idea. 

The reason is the pound was as low as 1.20 to the us dollar now 1.37 so were now getting 37% more than the dollar as regards 20% recently pound expecred to reach 1.40 to the dollar by end of feb which will put pound to 42 baht.

 Baht very strong against dollar thai banks full of foreign money seen as a safe haven Govt not printing it like europe and US

  Also thailand cant just devalue Trump for example threatning trade sanctions against countries for manipulating currencies Thailand was one on his watchlist .

  Personally i think Thais would like the dollar around 1.33-1.34 this would help there exports 

[Isaan sailor]

If you track the Baht’ rise vs USD, Euro and Pound currencies—you generally see an inverse relationship. When the Baht goes up, they go down.

But if you track the Baht vs Chinese Yuan—you see them rise in tandem—both now near multi-year highs.  It almost seems that the Baht is pegged to the Yuan.  I hope not, though.

[Pilotman]

4 hours ago, kwak250 said:

I used to ask the same question and then realized quantum physics was far easier to understand.

and it's real science. 

[Pilotman]

21 minutes ago, Isaan sailor said:

If you track the Baht’ rise vs USD, Euro and Pound currencies—you generally see an inverse relationship. When the Baht goes up, they go down.

But if you track the Baht vs Chinese Yuan—you see them rise in tandem—both now near multi-year highs.  It almost seems that the Baht is pegged to the Yuan.  I hope not, though.

you must have a doctorate in economics, you may as well have, you know just as much as they do.

[thailand49]

5 hours ago, fabruer said:

 

Beer has exactly 0g of sugar.

That's a fact.

 

What happens in the body with the metabolism of alcohol is an entire different thing.

True, but where did the term "Beer Belly" come from? Oh I think I know it comes from all the calories right?  Based on the age of the general age of many on this website the " metabolism " area beer has lots of carbs which then is process into sugar. ????

Edited January 28, 2021 by thailand49

[johnnybgood]

 

 The Thai baht remains strong despite

a catalogue of disasters that would wobble all regulated currencies.

 

Could it be synthetic drug manufacturing?
Could it be laundering money from illegal activities?
Could it be corruption at the highest levels? 
Could it be porous borders that enable all the above?
 

[fabruer]

2 hours ago, thailand49 said:

True, but where did the term "Beer Belly" come from? Oh I think I know it comes from all the calories right?  Based on the age of the general age of many on this website the " metabolism " area beer has lots of carbs which then is process into sugar. ????

 

Again, you show that you have no clue about nutrition and metabolism and just throw around words like it's a <deleted> bingo contest.

 

Beer has about 3.5-4g carbs per 100g which is on par with the carb content of a tomato.

 

With around 40-45 calories per 100ml beer is not exactly calorie dense, albeit not a low calorie product to be sure.

Usually, it's the combination of calories from food, beer, maybe soft drinks and lack of movement that equal to a positive calorie balance and thus lead to the phenomenon generally referred to as beer belly.

 

This will be my last reply on that beer subtopic, for two reasons 1) it's off topic and 2) you seem to be resitant to education.

 

Good luck and, if I may boldly suggest: do yourself a favor, keep quiet about topics you literally have zero clue about.

 

Edited January 28, 2021 by fabruer

[Mayhem11]

I think the original poster asks a legitimate question. I don’t know much about the Thai fiscal scene. Is the Baht floating or fixed by a central bank? If it was floating I would expect more fluctuation in its value. I suspect the latter. The AUD (a floating currency) has been drifting around US$0.77 for a while. But SCB’s ATM rate has drifted only in the B22.00 -23.00 range. Maybe this is what should be expected. 

[thailand49]

12 hours ago, fabruer said:

 

Again, you show that you have no clue about nutrition and metabolism and just throw around words like it's a <deleted> bingo contest.

 

Beer has about 3.5-4g carbs per 100g which is on par with the carb content of a tomato.

 

With around 40-45 calories per 100ml beer is not exactly calorie dense, albeit not a low calorie product to be sure.

Usually, it's the combination of calories from food, beer, maybe soft drinks and lack of movement that equal to a positive calorie balance and thus lead to the phenomenon generally referred to as beer belly.

 

This will be my last reply on that beer subtopic, for two reasons 1) it's off topic and 2) you seem to be resitant to education.

 

Good luck and, if I may boldly suggest: do yourself a favor, keep quiet about topics you literally have zero clue about.

 

O.K. Doctor A--  typical guy who read things but can't seem to put it into the real world!  There is a time lots of it where people post it is in humor but I guess you got your finger up your A-- to the point it must be real tough for others to be around you! 

 

See this is how it works I do a lot of testing for blood sugar,  for example when it comes to beer, my start after testing is 95,  after one beer after my range is now 210 now that is a spike!

 

Last, you have all the right to speak your opinion if you don't like something that is said look in the mirror get your finger out of your A-- and give your response to yourself!  It is pretty simple!????  otherwise if you can't give me a PM, we can boldly meet up for a Beer you might actually like me?????

Edited January 29, 2021 by thailand49

[elgenon]

On 1/27/2021 at 3:41 PM, chicowoodduck said:

Good Lord..... next up asking TV members for medical advice! ????????????????

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