British Pound Down The Sink

[FunFon]

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

-

But I think it's likely that in the event of unusual circumstances leading to a meltdown/discarding of the Euro scheme, the currency of the sensible Swiss would still keep value relative to the rest of the world.

So perhaps it's not an investment for appreciation but still a safer haven from possible catastrophe than pounds and dollars?

[HardenedSoul]

I think it is time for a pinned thread about exchange rates, as there is one for British pension... would really give back space to other threads and questions...

The troika of things to get TVs British punters going

- Pensions

- Immigrants (not them living in Thailand, the smelly hoards back home)

- and now...the exchange rate.

Although I hardly think space is at a premium on TV, the incessant musings on sterling exchange rates have become somewhat tiresome.

There's nothing wrong with exploring the issue but maybe the mods could just point new contributors to this topic to existing threads.

[OZEMADE]

I think it is time for a pinned thread about exchange rates, as there is one for British pension... would really give back space to other threads and questions...

The troika of things to get TVs British punters going

- Pensions

- Immigrants (not them living in Thailand, the smelly hoards back home)

- and now...the exchange rate.

Although I hardly think space is at a premium on TV, the incessant musings on sterling exchange rates have become somewhat tiresome.

There's nothing wrong with exploring the issue but maybe the mods could just point new contributors to this topic to existing threads.

Oz going well. $1.450 against the US $1 tonight. Latest Bangkok Bank rates here. Get more if you T/T your CASH to your bank here in Thailand.

http://www.bangkokbank.com/BangkokBank/WebServices/Rates/Pages/FX_Rates.aspx

[FunFon]

OZEMADE, on 26 Mar 2013 - 14:24, said:

Oz going well. $1.450 against the US $1 tonight. Latest Bangkok Bank rates here. Get more if you T/T your CASH to your bank here in Thailand.

-

Where do you get 1.45? Looks more like 1.05 to me.

When I lived in Melbourne it was always in the 60-70 range, how times have changed. . .

[Thanet]

Historically, the pound is not at its lowest point. I think it was lower in 1988, when I first came to Thailand as a young backpacker. I think it was around 35 then, but hard to remember exactly as I was having too much fun to worry about the exchange rate.

[yoshiwara]

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

-

But I think it's likely that in the event of unusual circumstances leading to a meltdown/discarding of the Euro scheme, the currency of the sensible Swiss would still keep value relative to the rest of the world.

So perhaps it's not an investment for appreciation but still a safer haven from possible catastrophe than pounds and dollars?

If the euro declines, the Swiss franc goes with it.

Swiss1960 is correct.

[Beetlejuice]

I will be OK as my wife is a popular prostitute in bangkok and is paid in baht, really, why do you want to know?

Total rubbish.

Last time I was in Bangkok she gratefully accepted my payments in euros.

[Swiss1960]

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

-

But I think it's likely that in the event of unusual circumstances leading to a meltdown/discarding of the Euro scheme, the currency of the sensible Swiss would still keep value relative to the rest of the world.

So perhaps it's not an investment for appreciation but still a safer haven from possible catastrophe than pounds and dollars?

Unfortunately, Switzerland will go down with the EU, just two figures

Export 2011: Total 208 Billion CHF, Europe 120 Billion

Import 2011: Total 184 Billion CHF, Europe 119 Billion

Our industry would not survive a European Crash

[ChiangMai101]

I am going to have to cut down on the bangers and mash.

'Bangers', eh ? I think the politically correct term is 'whores'.

What's the politically correct term for 'mash' ?

Potatoes that didn't do as they were told.

[yoshiwara]

I am going to have to cut down on the bangers and mash.

'Bangers', eh ? I think the politically correct term is 'whores'.

What's the politically correct term for 'mash' ?

Potatoes that didn't do as they were told.

For mash read Smash.

[endure]

I am going to have to cut down on the bangers and mash.

'Bangers', eh ? I think the politically correct term is 'whores'.

[mommysboy]

So the country you love (thailand) needs to fail, Then you will get more bang for your buck.

It's kind of like saying, I love Thailand, but I don't want it to excel because I will need to give up a few needless luxuries.

-

Actually Thailand's much better off with a low-value currency relative to its trading partners since its economy is so heavily dependent on exports (tourism included).

Failing or succeeding economically from a "main street" POV isn't necessarily reflected in currency movements, as I said it's driven the trade balance and confidence in the the central bankers and government's financial management skills.

America's economy may fully recover with full employment and rising standards of living and still see the USD decline over time.

Yes bang on about Thailand. And that above all else will be the compelling reason why in the future the baht will fall.... just because it simply has to!! Economic reasoning will count for nothing. Since when have these things mattered a jot in Thailand anyway?

The only reason Thai GDP is holding up is because of a consumer led boom fuelled by cheap credit, and Thais already appear to be up their eye balls in household debt. Thus the seeds are sown, how long it takes to come about I don't know, but I'm betting the powers that be will welcome a crisis.

A strong baht is undesirable all round.

[OZEMADE]

OZEMADE, on 26 Mar 2013 - 14:24, said:

Oz going well. $1.450 against the US $1 tonight. Latest Bangkok Bank rates here. Get more if you T/T your CASH to your bank here in Thailand.

-

Where do you get 1.45? Looks more like 1.05 to me.

When I lived in Melbourne it was always in the 60-70 range, how times have changed. . .

Sorry mate I gave you the T/T rate, which is now Bt30.45250. The straight exchange rate is now Bt 30.08 to the OZ $1.

[fasteddie]

Don't worry after this government go I can't see the baht being very high.

Don't hold your breath waiting for this government to fall.

[FarangTalk]

I expect the trend to continue as spending power shifts in favour of emerging economies.

There will be no reversal for many a year yet.

[mccw]

I expect the trend to continue as spending power shifts in favour of emerging economies.There will be no reversal for many a year yet.

I'd have to agree. Especially since the west / £ is at the peak of debt bubble and dealing with impossibility of inflating if further/ how to deal with its unraveling. While Thailand and SE Asia are relatively speaking quite close to the start of what the west went through over the last half century. Even if the followed the same model its arguably still got decades of boom bust bigger boom bust bigger boom etc cycles ahead of it. That is if the resources hold out. West was built on cheap oil; not much of that about these days and projected for across the board higher extraction costs going forward. This could turn everything on its head.

[personchester]

"How are you british people with income in pound handling this?"

Piece of cake......it's cheap here.

Not all items are cheap here, and for the decline of the GBP merely being a "piece of cake" applies only to those chaps interested in drinking and Thai feeding.

The GBP. USD, and EUR currencies have all gone down vs. the THB unfortunately British pensioners have an additional problem because their pension is frozen to the original payout sum, that is to say no increases.

Nevertheless the above three western currencies will recover in about 18 months two years, and the THB will decline in due course in order to support their own economical activities..

[therealmrbrightside]

How are we British coping?

Yes we get less baht for the pound, but we still get housing, electricity, water, petrol, diesel, cigarettes, beer, whiskey, vegetables, fruit, meat, manual labour, women, taxi's, police, etc etc etc. at a fraction of what it costs in the UK..

I think it would take the baht to drop a lot more than this to really affect the Brits who are established in Thailand.

[Card]

Luckily have bought 3 condos when the exchange rate was good. Also have a nice sum in an Australian high interest account for the last 2 years. Trouble is I need to transfer a lot to buy a condo in September, so will have to use my Australian dollars to buy that. I remember the first time I came to Thailand in 1987 - when there were about 35-40 to the pound and it was 500 baht a night for a take-away.

Otherwise, my life-style won't change that much as I plan my finances well. Expect the pound to drop further to about 38-40 within the next year as more credit agencies remove the UK's AAA rating and the Euro troubles bite.

[Suradit69]

I think it is time for a pinned thread about exchange rates, as there is one for British pension... would really give back space to other threads and questions...

"I think it is time for a pinned thread about exchange rates..."

It could be combined with all the threads in which random European posters lecture Thais on economics, politics and financial management, because they (still live with the delusion that they) are so much better at all of that than economists, politicians and business managers in Thailand.

[terryp]

Those who think Thailand is a cheap place are obviously so very wealthy.

Those who think Thailand won’t be dragged into currency debasement have been out in the extreme heat too much

As an export economy Thailand is in a very dire position and it will be affected..... but those with rose glasses will never see the facts

[terryp]

38-40 within the next year as more credit agencies remove the UK's AAA rating and the Euro troubles bite.

LOL what garbage.. FX traders make money by attacking certain currencys and move on to the next...just a happened with Soros here in 97

[Card]

Those who think Thailand is a cheap place are obviously so very wealthy.

Those who think Thailand won’t be dragged into currency debasement have been out in the extreme heat too much

As an export economy Thailand is in a very dire position and it will be affected..... but those with rose glasses will never see the facts

Sorry, but according to your argument, Thailand's economy should be suffering now with the EU and US problems and previous Chinese problems. Instead Thailand's economy has boomed. Can't see it getting worse as it prospered when the world was in recession. Thailand is a good place for investment because there aren't that many other places outside Asia to park the cash.

[Card]

38-40 within the next year as more credit agencies remove the UK's AAA rating and the Euro troubles bite.

LOL what garbage.. FX traders make money by attacking certain currencys and move on to the next...just a happened with Soros here in 97

Don't understand the point you are making. You saying that Soros will destroy the baht? Or do you mean he will attack the pound? In any case, give me time-scale so I can get back to you if/when you are proved wrong.

Edited March 27, 2013 by Card

[Baerboxer]

I think it is time for a pinned thread about exchange rates, as there is one for British pension... would really give back space to other threads and questions...

The troika of things to get TVs British punters going

- Pensions

- Immigrants (not them living in Thailand, the smelly hoards back home)

- and now...the exchange rate.

How about a new forum called "Brit's Expat Pub"?

Or one called 'Dodgy Swiss Bank & Tax club" - should be really popular.

[Baerboxer]

Those who think Thailand is a cheap place are obviously so very wealthy.

Those who think Thailand won’t be dragged into currency debasement have been out in the extreme heat too much

As an export economy Thailand is in a very dire position and it will be affected..... but those with rose glasses will never see the facts

Sorry, but according to your argument, Thailand's economy should be suffering now with the EU and US problems and previous Chinese problems. Instead Thailand's economy has boomed. Can't see it getting worse as it prospered when the world was in recession. Thailand is a good place for investment because there aren't that many other places outside Asia to park the cash.

What are the foundations for the Thai economic miracle? Cheap uneducated labour and very protected home markets and industries. AEC will blow this away. Thailand does not have the fundamentals to respond to the changes to become an innovative, higher technology knowledge economy. There are some very choppy waters ahead.

Investors take advantage of the good interest rates and stock yields here. How long before a correction? Who knows.

[Card]

Those who think Thailand is a cheap place are obviously so very wealthy.

Those who think Thailand won’t be dragged into currency debasement have been out in the extreme heat too much

As an export economy Thailand is in a very dire position and it will be affected..... but those with rose glasses will never see the facts

Sorry, but according to your argument, Thailand's economy should be suffering now with the EU and US problems and previous Chinese problems. Instead Thailand's economy has boomed. Can't see it getting worse as it prospered when the world was in recession. Thailand is a good place for investment because there aren't that many other places outside Asia to park the cash.

What are the foundations for the Thai economic miracle? Cheap uneducated labour and very protected home markets and industries. AEC will blow this away. Thailand does not have the fundamentals to respond to the changes to become an innovative, higher technology knowledge economy. There are some very choppy waters ahead.

Investors take advantage of the good interest rates and stock yields here. How long before a correction? Who knows.

You mean YOU don't know. The last few years has proven you wrong already.

[rascalman]

I will be OK as my wife is a popular prostitute in bangkok and is paid in baht, really, why do you want to know?

Is she available for making a adult film this weekend?

[Surasak]

The exchange rate now is about the same as it was in 1990/1, I really don't see the problem. Better off here than in the UK in so many ways.

[Baerboxer]

I keep asking for suggestions for decent currency bets in that timeframe beyond Norway, Switzerland, Australia and Singapore, so far no one's piped up with any specifics.

Forget about the Swiss currency. Switzerland is part of the European Economic zone, no matter whether we have contracts or not. CHF is now linked to the EURO through the actions of the Swiss National Bank which will not let the exchange rate drop below 1.20 and thus, the CHF is experiencing the exact same movements as the Euro.

This is completely independent of the still growing Swiss economy or the still stable unemployment rate.

Sounds like Switzerland. Not wanting to join the EU and take the positives and negatives - but "part of the economic zone" to try to cash in on any benefits.

Must be comforting to the Eurozone countries to know the Swiss banks are busy trying to manipulate the Euro for the benefit of Switzerland. Still got to manipulate something now they can't do the Libor, face pressure from the US on tax evaders, have to occasionally pay back some of the assests deposited by Nazi criminals.

I wonder if there is a S E Asian predatory country like this, just waiting to manipulate the ASEAN currencies to its own advantages??