Thai Baht - One Of The World’S Most Resilient Currencies?

[Naam]

A country that produces more than it uses will always have a strong currency. Thailand does this along with not being a socialist welfare country. Unfortunately the western countries have forgotten these simple economic facts.

So I guess they weren't producing enough in 1997 then since their currency devaluated by 50%.

Wish I was around Thailand in 1997, some people reported highs of 100 baht to the GB pound in January 1998.

Highest I remember getting was the 76 to 78 to the pound in August and December in 2004, I'd be happy to get back to those days but the highest I got was just over 49 in September and October of this year 2011, ah well dream on I guess, but one never knows, it could happen again.

highest rate GBP/THB was 91 in January 1998, USD/THB was 55.50

[Naam]

One reason is that Thai bahts are not heavily traded globally. I myself don't know how to trade it as an individual. The poster naam can advise on this subject.

there is not much advice i can give as i don't actually trade Baht because of existing restrictions. what i have done steadily over the last 6 years was moving cash Dollars and EURos into cash Baht which i hold onshore as well as offshore. until now the result was quite positive even though interest rates on cash THB were until recently quite "yuckish"

[janverbeem]

One reason is that Thai bahts are not heavily traded globally. I myself don't know how to trade it as an individual. The poster naam can advise on this subject.

The Thai bahts have their ups and downs over the years. I sent USD10,000 some 30 plus years ago to my FIL in Thailand to buy some land for us, the exchange rate was around 17 if my memory serves me right. My MIL paid my wife THB200,000 in 1980 for the USD10,000 that I lent to my wife's brother in the States for his gambling debt. In the mid to late 90's I remitted in USD100,000 from the States, the exchange rate was about THB25. A few months later, it was THB57!

The past few days, the THB has weakened. Foreigners have been net sellers in the stock market. The proprietary funds and institutional funds have also been net sellers but the SET have not dropped even though the DOW, Hang Seng, Nikki have dropped quite a bit. Now, do you think real retailers have the ability to maintain the SET index like this? But it doesn't matter if it hasn't dropped. It will. But they would want to push it above 1,000. They had tried a week or so ago. I hope you know what to do when it approaches 1,000 and beyond.

Between 1958 and 1980 the exchange rate of the Thai baht has always been 20.5 - 21.00 to the dollar.From 1981 onwards it rose quickly to 25 to the dollar to get pegged at that level until 1997 when it blew up.

http://fx.sauder.ubc.ca/etc/USDpages.pdf