Thai Baht Hits Nine-month Low

[george]

Thai baht hits nine-month low

BANGKOK: -- The Thai baht hit a nine-month low against the dollar Wednesday, trading at 34.15 to the greenback, bank sources said.

The sharp decline in the currency was attributed to heavy buying of dollars by foreign banks in Thailand and importers, said the Kasikorn Research Center, a think-tank attached to Kasikorn Bank.

Like most Asian currencies, the Thai baht has steadily appreciated against the dollar, gaining almost 20 per cent over the past two years before starting to weaken in June in the wake of rising inflation, growing political instability, declines on the stock market and slowing growth projections.

KRC projected the baht would continue to depreciate against the dollar in the short run, in tandem with other Asian currencies which have also been weakening against the greenback.

The think tank said the weaker baht might help boost Thai exports that were expected to slow in the latter part of this year as a result of economic slowdowns in South-East Asia, Europe, Japan and the United States.

-- DPA 2008-08-20

[george]

Thailand's central bank to meet on weakening baht

BANGKOK: -- The Bank of Thailand's (BOT) Monetary Policy Committee (MPC) will meet next week to discuss whether the ongoing weak baht currency would have an impact on inflation in the country, BoT governor Tarisa Watanagase said Wednesday.

Mrs. Tarisa said the MPC will confer next Wednesday and will likely discuss the impact, if any, on inflation due to the current weak baht against the US dollar.

By early Wednesday, the baht had softened to Bt34.15 to the US dollar, its lowest in nine months, according to Kasikorn Research Center (KRC). KRC attributed the sharp decline in the baht to the continued heavy buying of the greenback by foreign banks in Thailand, and importers as the month-end nears.

The KRC said the baht had weakened in the same direction of other regional currencies while the greenback continued to strengthen upon concerns over the global economic weakening.

-- TNA 2008-08-20

[lifeisrandom]

i think it slowly continues in this direction as the us economy takes one small step forward and then a slightly smaller step backwards

[Martin]

What a daft way to express the financial news that the US dollar has rallied slightly during its long slump downwards.

Not exactly back at where one US$ dollar buys us forty two bahts, are we?

Nor at where one pound sterling buys us two US dollars.

[phupaman]

Hi George.

Are you aware that your exchange rate page is stuck on 15-8-08

phupaman

[wolf5370]

What a daft way to express the financial news that the US dollar has rallied slightly during its long slump downwards.

Not exactly back at where one US$ dollar buys us forty two bahts, are we?

Nor at where one pound sterling buys us two US dollars.

Erm, today's rate (http://www.rate.co.uk/exrates.html) shows US$ to £ at 2.00260

...and incidently Thai Baht:Baht->$: 34.7750 Baht->£: 69.6387 Baht->€: 47.3201

[Moruya]

What a daft way to express the financial news that the US dollar has rallied slightly during its long slump downwards.

Not exactly back at where one US$ dollar buys us forty two bahts, are we?

Nor at where one pound sterling buys us two US dollars.

Erm, today's rate (http://www.rate.co.uk/exrates.html) shows US$ to £ at 2.00260

...and incidently Thai Baht:Baht->$: 34.7750 Baht->£: 69.6387 Baht->€: 47.3201

Look at Bloomberg to get some sensible market rates:

http://www.bloomberg.com/markets/currencie...currencies.html

USD:THB = 34.18

GBP:USD = 1.85

[wolf5370]

Would the difference be that the one I quoted is based on what you'd get a UK Banks and Bloomburg is for US Banks - or is it that the one I quoted was holiday exchange rates and Bloomburg is business rate (between banks - and thus not open to us)? Just wondering????

[Naam]

Would the difference be that the one I quoted is based on what you'd get a UK Banks and Bloomburg is for US Banks - or is it that the one I quoted was holiday exchange rates and Bloomburg is business rate (between banks - and thus not open to us)? Just wondering????

forget Bloomie, Yahoo et al and use the buying rates of a major thai bank like Siam commercial.

http://www.scb.co.th/html/exchange/bk-pvsexchange.htm

[Heng]

Go baby go.

[VegasVic]

What a daft way to express the financial news that the US dollar has rallied slightly during its long slump downwards.

Not exactly back at where one US$ dollar buys us forty two bahts, are we?

Nor at where one pound sterling buys us two US dollars.

Erm, today's rate (http://www.rate.co.uk/exrates.html) shows US$ to £ at 2.00260

...and incidently Thai Baht:Baht->$: 34.7750 Baht->£: 69.6387 Baht->€: 47.3201

Update: Sterling is at $1.83 and change(and dropping) vs. the U.S. Dollar in trading this morning. Look for the Dollar to make additional gains (particularly vs. the pound and euro) by years end and beyond, as many U.S. based mutual and hedge funds are selling off their international investments and puting that money to work in the U.S.. The FED will also start raising interest rates towards the end of this year or the begining of next year at a time when the European central banks will be lowering rates, this wil also bolster the dollar. The days of the perfect storm for the dollar are over, and conversely the days of the wild speculative bubbles in gold and oil are also ending. This is not a blip on the screen folks, this is the new trend and I have been attempting to explain this for many months now. The BOT is making a very valliant attempt to moderate the weakening of the Baht vs. the Dollar, but just as they were powerless to keep the Baht in the 36 range when the Baht was appreciating they will lose this battle as well. The Baht will gravitate back to the low 40's vs. the Dollar over the next year, which has been the Bahts "comfort zone" vs. the Dollar since 1997. Should the BOT get overly stubborn about trying to reign in the weakening of the baht vs. the Dollar, then when their grip does finally break we could see one of those runs to 50 baht/Dollar, this however will be a temporary phenomena and eventually the baht will gravitate to that 41-43/Dollar range that it has done so many times over the past 11 years.

[Mapguy]

Important topic!

Governments in developing economies in Asia, generally, are between the rock and the hard place when it comes to commodity prices and the dollar. I suggest that in the near and mid term that inflation in Thailand is the significant issue. This has more than economic impact.

[flying]

Look for the Dollar to make additional gains (particularly vs. the pound and euro) by years end and beyond, as many U.S. based mutual and hedge funds are selling off their international investments and putting that money to work in the U.S..

The days of the perfect storm for the dollar are over, and conversely the days of the wild speculative bubbles in gold and oil are also ending.

eventually the baht will gravitate to that 41-43/Dollar range that it has done so many times over the past 11 years.

From your lips to the Financial Gods Ears....Please

[bkk_mike]

Would the difference be that the one I quoted is based on what you'd get a UK Banks and Bloomburg is for US Banks - or is it that the one I quoted was holiday exchange rates and Bloomburg is business rate (between banks - and thus not open to us)? Just wondering????

The difference would be that rate.co.uk is crap.

On one page, it has

1 Euro = 1.1854 Euro

However, you're also right in thinking tourist rates in the UK are ridiculous. You're far better off changing pounds to baht (and vice-versa) in Thailand.

[johnnok]

Thanks to the PAD Thai baht will depreciate even more!

That's the only positive (selfish though) point I recognize to the evil PAD...

[Kadafi]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

Edited August 27, 2008 by Kadafi

[yoshiwara]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

[Kadafi]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

The sterling is in free fall of late and im dreading the thought of it going under 60 baht/pound in September, i hope this doesn't happen. For someone like me who is planning to transfer money in late September its a nightmare watching it drop like this...

Edited August 29, 2008 by Kadafi

[who]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

>If the pound looks bad now just wait 'til the oil runs out. The pound generally tracks the dollar so it will vary inversly with the $.

>The $ will do well against the Baht as long as the Thai inflation rate exceeds that of the US and concurrently the $ generally appreciates against all currencies.

Edited August 29, 2008 by who

[Naam]

The pound generally tracks the dollar so it will vary inversly with the $.

[konangrit]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

The sterling is in free fall of late and im dreading the thought of it going under 60 baht/pound in September, i hope this doesn't happen. For someone like me who is planning to transfer money in late September its a nightmare watching it drop like this...

I'm in the opposite situation, just transfered a large amount back to the UK this week, and planning on transfering the bulk of it back in the next month or two. Keeping a close eye on the x-rate, hopefully it will continue plummeting. Was fortunate to bring it into the country during the coup when the rate was 71, so it's all good for me.

Edited August 29, 2008 by konangrit

[Kadafi]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

The sterling is in free fall of late and im dreading the thought of it going under 60 baht/pound in September, i hope this doesn't happen. For someone like me who is planning to transfer money in late September its a nightmare watching it drop like this...

I'm in the opposite situation, just transfered a large amount back to the UK this week, and planning on transfering the bulk of it back in the next month or two. Keeping a close eye on the x-rate, hopefully it will continue plummeting. Was fortunate to bring it into the country during the coup when the rate was 71, so it's all good for me.

71 was a good rate, wish that was available at the moment. Last couple weeks seems to be a little more settled and the free fall has leveled out at around 62.5 baht-pound. If it can rise to 64/65 baht then i will transfer the my sterling....

[lannarebirth]

British Pound holders have been gifted with a weak baht, though an even weaker GPB. What if the baht were to strenghen?

[Pawpcorn]

What a daft way to express the financial news that the US dollar has rallied slightly during its long slump downwards.

Not exactly back at where one US$ dollar buys us forty two bahts, are we?

Nor at where one pound sterling buys us two US dollars.

Erm, today's rate (http://www.rate.co.uk/exrates.html) shows US$ to £ at 2.00260

...and incidently Thai Baht:Baht->$: 34.7750 Baht->£: 69.6387 Baht->€: 47.3201

Look at Bloomberg to get some sensible market rates:

http://www.bloomberg.com/markets/currencie...currencies.html

USD:THB = 34.18

GBP:USD = 1.85

Then there's our friend PayPal, who finding that charging 3.9% PLUS a $0.30 cent charge on EVERY transaction, complete the ripoff with using a conversion rate of 33.1692 (as of a couple days ago) when converting american dollars to Baht. Challenging(!) for us exporters.

Pawpcorn

[Kadafi]

British Pound holders have been gifted with a weak baht, though an even weaker GPB. What if the baht were to strenghen?

Very true, lucky at the situation in Thailand as it's helping the sterling from falling even more against the baht. With the problems over the weekend and suggestions of a coup i can't see things improving quickly in Thailand, we will see...

[Spee]

Then there's our friend PayPal, who finding that charging 3.9% PLUS a $0.30 cent charge on EVERY transaction, complete the ripoff with using a conversion rate of 33.1692 (as of a couple days ago) when converting american dollars to Baht. Challenging(!) for us exporters.

Western Union is worse. The credit card companies are about the same, as is the debit/atm card from my bank, which comes from Mastercard. It's a <deleted>' racket to be sure. Sounds like a "son of paypal" is needed to drive down these basic costs of doing business.

[chiang mai]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

>If the pound looks bad now just wait 'til the oil runs out. The pound generally tracks the dollar so it will vary inversly with the $.

>The $ will do well against the Baht as long as the Thai inflation rate exceeds that of the US and concurrently the $ generally appreciates against all currencies.

Incorrect

[Bengt]

Seems the US dollar will continue to grow against the Thai Baht, any idea's if the UK pound will continue to fall against the baht? its gone from 67 to 63 in the last 6 weeks...

The pound is down by about 8% against the dollar. There is currently no good news to check the downward drift, but then the baht is undepinned by an unstable political situation, so its a race to the bottom for now!

The sterling is in free fall of late and im dreading the thought of it going under 60 baht/pound in September, i hope this doesn't happen. For someone like me who is planning to transfer money in late September its a nightmare watching it drop like this...

I totally agreee