Thai stocks, currency slide on political turmoil

[Traveling Sailor]

Hooray, keep up the good work Suthep

I second the emotion! Now my dollars will go even further. Happy days! I just won't go near Bangkok.

[flyingdoc]

Shaurene is right in one very important respect, and that is no-one is a real winner in all this! A depreciation in the value of the baht may provide momentary relief for exPats, but it rebounds on the economy if one is going to have any continuing interest in Thailand!

[Ulic]

Stocks will go down, stocks will go up, currency will go down, currency will go up.

All predictions will come true, it is just the timing that is difficult to predict. At the moment with

political turmoil, corrupt government regardless of who is leading it. Unsustainable

government programs and an ending to US quantitative easing the prediction and timing

look straight forward it is just the bottom that is difficult to predict. So mine is 10 % lower

(to USD) for both over the next 4-6 months before an levelling off and the SET to be up

10% from its current position by the end if the year led by exports, tourism, and construction.

Note: These are the musings of a bored TV reader.

[taiping]

When the upper crust in Bangkok, businesses, and all those with pensions start to realize that they are looking at substantial financial losses, I think they will drop Suthep like a stone. I hope so.

[kelboy]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

The biggest expense...price of poontang...will go down. At least for those who know how to bargain, as it will be a buyer's market. Buyers will also have the pick of the litter.

Quote off the year.

ye ha.

[stoli]

As though the USA starting to reduce their money printing had nothing to do with it.

Certainly the possibility of the U.S. easing up on the Q.E. started the weakening of the baht for many months, but I hope you would to agree that the political situation in Thailand lately is certainly having a direct impact to the Thai stock market and the weakness of the baht directly. If you do not believe this, watch what happens to the baht immediately after a solution to these political problems presents itself. The baht stabilized after the political situation in 2010, which can easily be seen with very little work.

On to a different point, the anti-government protesters who want to fix vote buying (using government tax money to give to the poor to buy their votes), will sorely miss their target if they are looking to the West to find out how they have combatted this problem. Of course, the West has created this problem large scale, and in fact, it is now bigger than ever. This has caused the major economic problems that so many countries are now suffering from. These programs have grown enormously in the U.S. under the current government. It ignore the leaders of business, those that create jobs, and rewards the followers.

[winstonc]

Ye, this guy is really a traitor to his country, he got what he wanted, new elections PM did it but it is still not good enough for him. He knows the government will get back in he will never change the peoples will to vote them back in. The Army should step in and control this Traitor people will die but this is what happens the Army has to protect the constitution, end of story. If I may say so, you guys should keep your noses out, not your country.

The currency goes down and inflation goes up but the problem is when it gets strong again the prices do not go down.

You guys saying cheers do not know really what all this means.

you guys keep your noses out,but you felt the need to comment also..bright arnt you...traitor you mean thaksin, dont you,you know the spineless coward who ran away,typical thai trait it seems,i think suphep is strange but he aint had it on his toes has he,happy trolling

Edited January 3, 2014 by winstonc

[NoshowJones]

Hooray, keep up the good work Suthep

Don't be so selfish, I also want a good price for my baht, but I also want the political turmoil ended. I am more interested in a stronger British pound.

[mrowe1973]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

The biggest expense...price of poontang...will go down. At least for those who know how to bargain, as it will be a buyer's market. Buyers will also have the pick of the litter.

You'll get more bang for your buck!

[Dogmatix]

Thaksin is creating a perfect opportunity to mop up cheap stocks with a weak baht. Maybe what all this is really about.

[ppmacready]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

You can get such things in your own country.

Most of us come here for the pretty young available Pussy.

Its 10% + cheaper now and getting cheaper by the day!

Sorry I meant of course the cultural tours etc

[salapau]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

Plus the fact that for those of us who are leaving Thailand, transferring money back to England will take a big hit on the exchange rates.

[PaullyW]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

I think the thinking is that one can choose what he will purchase with his money. But, conversely, he cannot control the exchange rate.

So, it may be true that certain goods will not be a better value as a result of having more purchasing power due to exchange. But it may also be true that overall one will have truly more purchasing power for those many items which either will not or have not yet compensated up their prices.

For example, someone wishing to purchase a condo in Thailand would very likely benefit from a quick exchange based gain.

That is also basic economics I think.

Edited January 3, 2014 by PaullyW

[robsamui]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

The biggest expense...price of poontang...will go down. At least for those who know how to bargain, as it will be a buyer's market. Buyers will also have the pick of the litter.

The litter - the stuff left behind on the street at 4:00 am - isn't going to be any different . . .

[robsamui]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

The basic principle is, of course, correct. But it falls down because 1) farangs who live here a long time eat mostly Thai food and not cheese and hot dogs and 2) tourists who come here aren't bothered about what money they spend over the 2 weeks they're on holiday.

As there appear to be notably fewer tourists heading for Thailand at the moment, it would seem to me that it's the Thai importers/distributers who are going to be hit, as they'll have a lot of produce on the shelves that nobody wants.

R

[Boxclever]

The only good news to come out of this mess!

I get paid in $US, I hope it drops to 40bht/$

[Thai at Heart]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

who want to eat imported food, i live here and buy Thai product and yes some product went up in price a litle but not so much, my opinion they kill this new Hitler called Suthep

But the fuel that moves the truck, and which powers the power station, and powers the boiler and which powers the Pick up truck is imported.

So. It really is largely give with one to take away with another.

Ironically they desperately do need a new train network to bring down logistics costs.Just not a high speed one.

[webfact]

Thailand encounters weakened baht, stocks moving downward, plunging economy, political stalemate
By Digital Content



BANGKOK, Jan 3 – The Thai baht plummeted to its lowest in four years today amid concerns that Thailand’s political turmoil has dealt a blow to public and private investment and the country's economic recovery.

The Thai currency weakened to Bt33.02-33.04 against the dollar today, depreciating from Bt32.95-32.97 yesterday.

Besides political unrest, the strengthened US economy has pushed up the dollar against other currencies.

Kittiratt Na-Ranong, caretaker deputy prime minister/finance minister, said a 67-point nosedive of the Thai bourse yesterday and its continued decline today were mainly due to the political conflicts which have demoralised investors.

He said Thailand has experienced rapid surge after a crisis in the past, citing quick recovery after the tsunami disaster in the South in 2004 and massive floods in 2011.

Though political problems have disrupted revivals of the Thai economy and stock market, the Thai bourse -- which encountered a heavy sell-off despite strong fundamentals -- will rapidly pick up, he said.

Mr Kittiratt said the weakened baht will be a boon to Thai exports but will pose a negative impact on imports of essential products particularly crude oil.

Several state-initiated investment projects including the Bt2 trillion infrastructure development will be suspended, pending a ruling by the Constitution Court, while domestic consumption has slowed down, he said.

Anusorn Thammajai, dean of the Faculty of Economics at Rangsit Unviersity, said Thailand went through a capital outflow at over Bt200 billion in September-October given the political stalemate and investors’ lack of confidence.

The planned seizure of Bangkok on January 13, as announced by anti-government protesters, will give domestic and foreign investors the jitters, he said, adding that it would take over a decade to rebuild the shattered economy. (MCOT online news)


-- TNA 2014-01-03

[huangnon]

When the upper crust in Bangkok, businesses, and all those with pensions start to realize that they are looking at substantial financial losses, I think they will drop Suthep like a stone. I hope so.

The uppermost crust supports him implicitly. It's the only reason he's still allowed to go raging on.

[Thai at Heart]

When the upper crust in Bangkok, businesses, and all those with pensions start to realize that they are looking at substantial financial losses, I think they will drop Suthep like a stone. I hope so.

The uppermost crust supports him implicitly. It's the only reason he's still allowed to go raging on.

Sutheps contribution to ruining the baht is minimal versus the USA FED starting to reduce their stimulus.

[Anon999]

Hooray, keep up the good work Suthep

---------------------------

I happen to agree but you need to understand that a prolonged political crises will also affect the inflation rate in Thailand.

You may get more Baht each time you change your dollars or your pounds, but the goods you buy with that effectively weaker Baht will also be more expensive.

That point often doesn't get through to those who cheer the higher exchange rates.

It will especially affect first those products that have some foreign component or are imported into Thailand ... the kind that Farangs buy.

Such things as Cheese or Hot Dogs or Sausages imported from your home country.

Basic economics 101.

Had you not noticed over the period the baht has been strengthening that the cost of imported items have risen substantially? There has been no excuse for that except the importers and retailers wanted to make ever more money. Next they'll be crying into their noodles that profit margins have dropped.

[ozyjon]

I'm waiting for the Thai = Australian dollar to move,, yawn, still waiting, been waiting for weeks and nothing has happened.

[rotorbreeze]

Hooray, keep up the good work Suthep

Indeed, whatever the cost to the people and the country, this nutter will keep up his mad obsession, notwithstanding the gross hypocrisy that goes with it.

Seem the Thai culture has this pre breed into conflict...look at the Soap opera's..conflict..my neighbor's radio or TV will be extra loud for surrounding tenants to listen to political conflict like a news clip from Nazi German propaganda..disturbing to hear early in the mornings..I prefer the birds and and sunlight entering my awaking...