Oz $ losing so much value to the Baht

[Pattaya57]

And it continues, $A is at the lowest vs the Baht since November 2020, so an almost 4 year low.

 

On the streets of Pattaya it's 21.98 today 😞

[KhunHeineken]

On 9/24/2024 at 11:23 AM, Pattaya57 said:

This is crazy, US drops interest rates, baht gets stronger. Australia keeps interest rates on hold, baht gets stronger vs A$ 😞

Wait till when we lose our AAA rating and see what happens to the AUD. 

 

http://australiandebtclock.com.au

[still kicking]

1 hour ago, KhunHeineken said:

Wait till when we lose our AAA rating and see what happens to the AUD. 

 

http://australiandebtclock.com.au

Well you can still move to Zimbabwe 

[G_Money]

Would Oz be better off if they were still under British rule and the pound?

[still kicking]

2 minutes ago, G_Money said:

Would Oz be better off if they were still under British rule and the pound?

Hahahahaha good try 

[KhunHeineken]

40 minutes ago, still kicking said:

Well you can still move to Zimbabwe 

I might not even be able to exchange AUD there, the way it's going. 

[gearbox]

On 9/25/2024 at 1:25 AM, chiang mai said:

An interesting piece below on the implications for Australia's economy as a result of Chinese policy changes. The bottom line is that exports to China have peaked and are in decline, this will manifest itself in the exchange rate, unless Australia can find new markets for its commodities, which seems improbable, given its remote location.

 

"For Australia, it does not take Albert Einstein to work out the implications. China is already using less coal, gas and iron ore. Even less is ahead.

Steel and iron have been falling for years already and they are not even halfway down yet. This affects the economy in three ways over time.

First, budget receipts are hit, spending is cut, or taxes rise. Second, falling prices force miners to curtail investment. Third, equity prices fall, which has begun but has far still to run.

 

These three impacts comprise a giant national income shock that wipes out wage growth and inflation. The Reserve Bank of Australia will be forced to cut the cash rate much deeper than anybody expects through the next few years".

 

https://au.finance.yahoo.com/news/chinas-interest-rate-move-leaves-australia-exposed-future-is-grim-200035137.html

The outlook for the Aussie is not that good, but the currency is still backed with tangible assets like resources and agricultural products, not by some hot air like a "service economy".

[Pattaya57]

9 hours ago, G_Money said:

Would Oz be better off if they were still under British rule and the pound?

Wouldn't change anything against the ridiculously strong Baht. The £ has tanked vs the Baht just like $A, gone from 47 to 43 in last 3 months

 

[bbi1]

Holy crappp, just had a look on Wise and the AUDTHB price is 21.77 which is basically the worse it's been since 2020 COVID times. The USDTHB still has a great exchange rate. What has happened that has made the AUD go down the toilet even more than it already was?

[KhunLA]

1 hour ago, bbi1 said:

Holy crappp, just had a look on Wise and the AUDTHB price is 21.77 which is basically the worse it's been since 2020 COVID times. The USDTHB still has a great exchange rate. What has happened that has made the AUD go down the toilet even more than it already was?

I don't know about great, more like just normal.  Although don't expect it to last, as will probably go to 30 before 2028, if Trump repeats.

[JimHuaHin]

16 hours ago, bbi1 said:

Holy crappp, just had a look on Wise and the AUDTHB price is 21.77 which is basically the worse it's been since 2020 COVID times. The USDTHB still has a great exchange rate. What has happened that has made the AUD go down the toilet even more than it already was?

There have been several recent reports on the ABC and articles in the Australian media suggesting issues such as the housing supply crisis, declining GDP growth (most of the recent GDP growth has been due to unsustainable government spending; but per capita GDP has been declining since COVID), stagnant productivity, economic decline in China, and more recently Trump's win in the USA.  To which I would add the recent storms/flooding in eastern Australia and the potential for a very active cyclone seasons due to high sea water temperatures, may also be contributing factors.

 

I suspect that unless the Christmas - New Year retail sales are not exceptionally good, the decline in the A$ will continue into at least the first quarter of 2025.

 

Unless, of course, the Thai Baht crashes.