Well, It's Happened . . .

[Prakanong]

"Instead, he believed in creating environments that stimulated innovation, was able to respond quickly to changes and challenges, and rewarded the risk taker. I kind of liked that argument."

I kinda like that too!

Innovation, quickly changing and rewarding risk taker does not sound like a certain place we discuss though unfortunately.

[Clipped]

got here in 1996 at 25 baht to the dollar....looks like its time to go home...

on second thought i like it better here, im staying

[PeaceBlondie]

Bendix, congratulations. You get my nomination for the ThaiVisa Economics Modesty Award of the Month.

Note my signature.

[jayjayjayjay]

Can anyone recommend a good high condo with a sturdy balcony for a launchpad? F'ing bloody hel_l!

Not long before a million baht salary could be pretty good on the world stage... 1 baht = 1 USD 555555555

[ThaiWanderer68]

27% depreciation in 6 years. At around 30 now. That would mean 6 baht/dollar in 6 x 6 years. if this continues:

666? - as I mentioned elsewhere - I think America might be going the same way as Sodom and Gomorrah. Hardly a Revelation tho'.

Edited July 20, 2007 by ThaiWanderer68

[laxman1960]

27% depreciation in 6 years. At around 30 now. That would mean 6 baht/dollar in 6 x 6 years. if this continues:

666? - as I mentioned elsewhere - I think America might be going the same way as Sodom and Gomorrah. Hardly a Revelation tho'.

Thing that is weird is as I walked by the Siam Commercial Exchange booth on Sukhumvit, near Soi 8 their current rate as of 330pm today was 33.25 per dollar which is up .20 from yesterday!

[pkrv]

27% depreciation in 6 years. At around 30 now. That would mean 6 baht/dollar in 6 x 6 years. if this continues:

666? - as I mentioned elsewhere - I think America might be going the same way as Sodom and Gomorrah. Hardly a Revelation tho'.

Thing that is weird is as I walked by the Siam Commercial Exchange booth on Sukhumvit, near Soi 8 their current rate as of 330pm today was 33.25 per dollar which is up .20 from yesterday!

laxman1960- Take care the rates you are seeing are problematic. See:

http://www.thaivisa.com/forum/index.php?showtopic=127371

You need to exercise extreme caution in any FX transaction.

Edited July 20, 2007 by pkrv

[Mid]

Central bank: Baht is stabilising

The baht has begun to stabilise now that foreign capital has flown into the country at a slower pace, according to the Bank of Thailand.

BoT assistant governor Suchada Kirakul said the baht appeared neither too strong nor too volatile like in the past partly because many parties had cooperated and the government had prepared measures to supervise the baht movement.

The Post Publishing Public Co

[roietjimmy]

Just came back from my favorite food market expecting to get some real good deals on food items imported from the US. Prices haven't come down a bit! Remembering the quick switch from baht to USD based room pricing at 4 and 5 star hotels in 1997 I checked a few of their web sites. They all are now quoting rates in baht. Gee whiz kids, is it possible greed is rampant in the LOS!

[Heng]

One man's greed is another man's capitalism.

[samran]

Just came back from my favorite food market expecting to get some real good deals on food items imported from the US. Prices haven't come down a bit! Remembering the quick switch from baht to USD based room pricing at 4 and 5 star hotels in 1997 I checked a few of their web sites. They all are now quoting rates in baht. Gee whiz kids, is it possible greed is rampant in the LOS!

explain to me how it is 'greed' when their income is in US dollars (declining) and their costs are in baht (fixed). Or should they sack a few workers instead to maintain their margins?

[Mid]

explain to me how it is 'greed' when their income is in US dollars (declining)

I take it we are talking Hotels operating in Thailand ,

so , $US ??

[mcbride]

got here in 1996 at 25 baht to the dollar....looks like its time to go home...

I agree, at 25 baht it makes no sense staying in Thailand. The wife and I are tired of all the BS here anyway. We are thinking of going to Malaysia. At least they have a currency board that helps control their exchange rates, allows you to buy property, gives you a 10 year visa with a multi-entry attached and it is renewable. We are going there next month on a fact finding trip. I have a retirement visa, put 8000,000 baht in the bank and they still want us to report every three months...that's crazy.

on second thought i like it better here, im staying

[solo siam]

Just came back from my favorite food market expecting to get some real good deals on food items imported from the US. Prices haven't come down a bit! Remembering the quick switch from baht to USD based room pricing at 4 and 5 star hotels in 1997 I checked a few of their web sites. They all are now quoting rates in baht. Gee whiz kids, is it possible greed is rampant in the LOS!

explain to me how it is 'greed' when their income is in US dollars (declining) and their costs are in baht (fixed). Or should they sack a few workers instead to maintain their margins?

Exactly, besides what would be the problem with quoting the room rates in the home currency, Or vice versa? It doesn't mean they have put the prices up does it.

[Ijustwannateach]

I bought some books the other day. One book in a series that I've been buying since 2002 was originally selling at 300B at Kinokuniya; the U.S. dollar price on the book hasn't come down but the most recent book in the same series was priced at 277B. It will take some time but there will be an effect on import prices.

[Guest madcow]

Well, I congratulate all you boys and you can slap yourselves on the back for me. You really have a lot to learn about world finance but you will indeed have your chance, very soon.

Have any of you actually lived through a sustained global downturn? No, I thought not. Well, you will get your chance. I love the exuberance of youth, even if not that young, but well shall we say inexperienced. Even at 40 you haven't yet been burned. You should know better by your age. I learned most of this by 20.

There will be no global downturn

Really ? Are global downturns a thing of the past ?

[roietjimmy]

Just came back from my favorite food market expecting to get some real good deals on food items imported from the US. Prices haven't come down a bit! Remembering the quick switch from baht to USD based room pricing at 4 and 5 star hotels in 1997 I checked a few of their web sites. They all are now quoting rates in baht. Gee whiz kids, is it possible greed is rampant in the LOS!

explain to me how it is 'greed' when their income is in US dollars (declining) and their costs are in baht (fixed). Or should they sack a few workers instead to maintain their margins?

The issue I have with some multinational hotels operating in Thailand is their quickness in changing the currency they use in quoting room rates. That is, when the baht is weak (40/USD), rates are in USD ($100) and when the baht is strong (33/USD) they quote in baht (4,000). Note the price did go up from $100 to $121. The result of this is the guest/consumer with USDs gets no benefit when the baht is weak and pays more when the baht is strong. As you have said, all their costs are in baht so why not be consistent and quote room rates in baht. This will always ensure they maintain their %margin, no one will be sacked and the guest will get the gain or loss based on prevailing currency exchange rates.

Regarding the price of imported products, I do agree with Ijustwannateach, it does take time for current inventories to be depleted so prices should go down over time. So far, I have yet to see any price drops close to the % one would expect. In July 2002, the baht was 42/USD it is now 33/USD a difference of 21%. Even taking in consideration cost increases due to local inflation, an 8% price decrease in the cost of the book Ijustwannateach purchased seems far from reflecting the 21% cost decrease of the product.

Thanks for all the comments.

[Skoal]

blew past 30 with no resistance whatsoever.

I think you mean support my friend

[Jimjim]

The baht has gone back a bit since it's quick rise last week. Not much, but perhaps it will begin to stabilise?

[Irene]

The baht has gone back a bit since it's quick rise last week. Not much, but perhaps it will begin to stabilise?

Too soon to say. The governor's job is on the line for firing. You need time to tell on the outcome.

[bkkandrew]

The baht has gone back a bit since it's quick rise last week. Not much, but perhaps it will begin to stabilise?

Nope, falling further now London opened:

Live rates at 2007.07.23 08:48:33 UTC

Notice: The THB rate shown below is the international rate. Rates used within Thailand may vary.

1.00 USD = 29.5784 THB United States Dollars Thailand Baht

1 USD = 29.5784 THB 1 THB = 0.0338085 USD

Source: xe.com

Edited July 23, 2007 by bkkandrew

[teejay]

Up up up.... (or down down down if you like)

Last Trade: 29.325 THB

Trade Time: 11:10AM EST

Bid: 29.325

Ask: 29.370

[PeaceBlondie]

So, yesterday's violent demonstration against the privy councillor did not weaken the baht!

[Jimjim]

The onshore rate was creeping close to 32 even, and now it's back to about 32.65.

[Jimjim]

I know day to day is probably not effective analysis, but right now it is slowly creeping back to a higher rate: about 33.69. Day's not over, though. Hopefully it continues back to 36 or so. This is onshore. My previous post I meant (33) and (33.65), respectively.

[bkkandrew]

I know day to day is probably not effective analysis, but right now it is slowly creeping back to a higher rate: about 33.69. Day's not over, though. Hopefully it continues back to 36 or so. This is onshore. My previous post I meant (33) and (33.65), respectively.

It hasn't really begun. London (World's largest Forex market) just opening and New York (2nd largest) not open for another 5 hours...

Note that the USD has now slid another cent to 2.063 to GBP, another new 25-year low...

Source: xe.com

[Aujuba]

I worry and wonder about the economy. I don't get it I guess. The sky is the limit. I'm sure those who have their money bouncing all over the world after the best market at that minute really own the future. Those who just have their money in one market like the US market won't do as well. So what if your home economy is worthless you don't have to live off of it. The high fliers are all smiles. Get rid of your buffaloes and join the modern world or you and your children are going to be poor.

I'm still riding my old horse across the dusty plains. I guess I should have put my money in some sort of wild venture capital fund. It's amazing how easy it is for companies to get money and buy other companies nowadays. In a few year time there should be one trillionaire who shouts out 'I've won!' " I own the world' 'King of the world, baby!' And you know what it was all fair. He'll deserve it. If you can't compete and work with the wonderful capitalist system, you don't deserve life.

[mikalmus]

The dollar is so just so weak now its incredible imagine what it would be like if the baht was as strong as the dollar is weak, that would be a double whammy.

Edited July 24, 2007 by mikalmus

[ding]

If you can't compete and work with the wonderful capitalist system, you don't deserve life.

Ouch! A wee bit Draconian aren't it?

Draco, is that you Draco?

Or is it John Gault????

[lordofdelusion]

It's 9.45pm and I've just flicked through to Bloomberg. They are reporting that the offshore dollar rate is now 29.85. Yeap, you read it right. 29.85.

I think I'm going to cash up here and go and retire to a cheap third world country. Arizona anyone?

It's been less than a month since this post. Offshore the rate is just under 31 today and the onshore briefly hit 34 up from near 33. Volatility anyone?? Or did everyone pack up and go home muttering something about doomsday?