Tiger7Moth Posted January 9, 2006 Share Posted January 9, 2006 After being quite steady at just about 41 for 6 months, in the last month the exchange rate has dropped to 40. I would be interested in the reason(s) for the change. Link to comment Share on other sites More sharing options...
poorfarang Posted January 9, 2006 Share Posted January 9, 2006 happens every year... Link to comment Share on other sites More sharing options...
Upcountry Posted January 9, 2006 Share Posted January 9, 2006 According to recent BP articles, etc., a Thaksin family sell-off of Shin Corp ownership to SingTel may be behind this. On the "transparent" surface, the idea is to remove conflicts of interest. But speculation is that private buy-back agreements cannot be verified, so it may just be politics as usual. At any rate, Singapore banks have been swabbing up Thai Baht, and that seems to be a major reason for the change. Let's see what happens. Link to comment Share on other sites More sharing options...
jing jing Posted January 9, 2006 Share Posted January 9, 2006 Currently 39.7 THB/USD and dropping like a stone... http://finance.yahoo.com/currency/convert?...=THB&amt=1&t=5d Link to comment Share on other sites More sharing options...
OldAsiaHand Posted January 10, 2006 Share Posted January 10, 2006 happens every year... No, of course it doesn't. To say so is both glib and inaccurate. As another poster pointed out, over a period of about 72 hours, a number of Singapore banks were heavy baht buyers. The unusual demand drove the rate from circa 41.5 quickly up in the direction of 39.5. Remember the law of supply and demand? Currency is just another comodity like oil or gold. Greater demand for a currency (or falling supply) means higher prices for it. Now whether this baht buying out of Singapore is or is not the result of a SingTel deal to buy Shin Corp I have no idea. The Singapore banks are the major market makers in Thai baht so, regardless of the reason for the demand, it would probably be routed through Singapore anyway. The more important question is whether the baht will continnue to strengthen. The excess baht demand happen to come against a background of unusual dollar weakness (the USD weakened 2% against the EUR during exactly the same period) and the odds against an early repeat of such a perfect storm are pretty good. In other words, there may be more strength in the baht, but don't count on another 2% pop anytime soon. Link to comment Share on other sites More sharing options...
astral Posted January 11, 2006 Share Posted January 11, 2006 Currently 39.7 THB/USD and dropping like a stone...http://finance.yahoo.com/currency/convert?...=THB&amt=1&t=5d Coming from 41 that is not a drop. It is a good solid RISE of 5%. Mind you the US$ has dropped and that might be the reason. BOT used to say they had a basket of currencies to determine the rate, but I always thought they had all their US dollars in the same basket. Link to comment Share on other sites More sharing options...
JimmyGreaves Posted January 12, 2006 Share Posted January 12, 2006 The British Pound has also nose dived the lowest for 2 years as far as I know. Is the trend down? Link to comment Share on other sites More sharing options...
.png.3b3332cc2256ad0edbc2fe9404feeef0.png)
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now