Maestro Posted January 15, 2014 Share Posted January 15, 2014 At Thai banks the spread is typically 30 satang above/below the midpoint, extremely good value, the spread at Western banks is far higher and is typically a rip off. What is a 'satang' ? When I exchanged some US dollars for Thai baht a few days ago the spread was 32.62 verses 33.26. That appears to me to be a difference of 0.64,...or about 2% You are talking about about changing a small amount of cash, I see. If you have a way of looking up what the difference would be for changing a mimilar amount of cash at a US bank, it would be helpful if you kindly posted it here for comparison. Link to comment Share on other sites More sharing options...
Gonsalviz Posted January 15, 2014 Share Posted January 15, 2014 The Central bank is buying to support the Baht. Simple. Please supply proof this is the case and then explain why it will cost them in the end. 1. No proof. 2. 1997. Link to comment Share on other sites More sharing options...
Flemish guy Posted January 15, 2014 Share Posted January 15, 2014 The euro won 10% up to the baht, compared with october 2013... Link to comment Share on other sites More sharing options...
Puccini Posted January 15, 2014 Share Posted January 15, 2014 What is a 'satang' ? ... A satang is to the Baht what a cent is to the dollar, ie one-onehundreth. Link to comment Share on other sites More sharing options...
chiang mai Posted January 15, 2014 Share Posted January 15, 2014 The Central bank is buying to support the Baht. Simple. Please supply proof this is the case and then explain why it will cost them in the end. 1. No proof. 2. 1997. What does 1997 have to do with the price of beef! Link to comment Share on other sites More sharing options...
paz Posted January 15, 2014 Share Posted January 15, 2014 Never trust a online FX. What that means "trust an online FX" ? You trust what instead ? Link to comment Share on other sites More sharing options...
paz Posted January 15, 2014 Share Posted January 15, 2014 Am I missing something, or are the videos from 60 minutes 'blocked' in Thailand ?? (I got that message on one site where I tried to play the video) What is "60 minutes"? Goggle's your friend. Link to comment Share on other sites More sharing options...
RubbaJohnny Posted January 15, 2014 Share Posted January 15, 2014 60 minutes is a US tv show Link to comment Share on other sites More sharing options...
Puccini Posted January 15, 2014 Share Posted January 15, 2014 Thank you. Link to comment Share on other sites More sharing options...
MrWorldwide Posted January 15, 2014 Share Posted January 15, 2014 (edited) Never trust a online FX. What that means "trust an online FX" ? You trust what instead ? I wouldnt even grace a statement like that with a reply, paz - our friend is clearly still living in the 70s and walks to the nearest stock exchange each morning expecting to see traders throwing scrip at one another. Tragic. Edited January 15, 2014 by MrWorldwide Link to comment Share on other sites More sharing options...
meatboy Posted January 15, 2014 Share Posted January 15, 2014 as the topic is "playing games with the baht" as anybody thought of asking England cricket team 2 Link to comment Share on other sites More sharing options...
Thai at Heart Posted January 16, 2014 Share Posted January 16, 2014 (edited) What's happening in BKK is not affecting too many exports and money coming in trough the regular channels. Actually the Thai economy is doing fine, better than many western economies, the US included, so a rising Baht is no surprise. You might have trouble marrying that up with the 20% drop since last April. 20% drop in what? Exports of all kinds of industrial and agricultural products have years of growth ahead based on current investments. Just drive around the industrial areas and you'll be stunned by the size of the plants that are under construction and those that are brand new and just starting up. The challenge will be in keeping investors faith in the near future, but you have to realize that Thailand has always been in some political turmoil and it never seemed to have significant effect on investments. The major threats are Thailand's labor productivity and increasing cost, if productivity is not increasing when the wages and all prices are going up we are loosing our advantages on the surrounding countries. THBGBP Please keep up. The issue is not strength or weakness of the thai economy but perceived strength of the western economies.The uk economy is on the move, it strengthens. How many times larger than Thailand is the British economy than Thailand, let alone the USA economy. 2% growth of the uk economy yes maybe worth 10% of Thailand. The uk GDP is 6 times more than Thailand and last time I looked the horrendously diminishing industrial output of the uk was still bigger than Thailand. Thailand ability to move it's exchange rate is very small versus that in the hands of the west. That's the way it is Edited January 16, 2014 by Thai at Heart Link to comment Share on other sites More sharing options...
Jonmarleesco Posted January 16, 2014 Share Posted January 16, 2014 As Naam pointed out, currencies rise and fall. Funny you missed the last several years, with all that's gone on, and the Baht then being overvalued. It's not realistic now, but it's going in the right direction. Manipulation, you say? Almost certainly, and from somewhere overseas. Several hundred million, or several billion, baht sitting offshore, right now in another currency, can make a substantial profit in the currency markets. Link to comment Share on other sites More sharing options...
RubbaJohnny Posted January 16, 2014 Share Posted January 16, 2014 Hot tip from from Krung Thep An official spokesliar who decllined to be named said i an effort to cull the unproductive they are to be coralled via inducements to the flood plain.The campdraft will use clowns,jugglers and free dishes as lures Stock Picker IQ short Harmony Long Whatsup Ask New legislators votes Bid Whistle innovation short term hot,long term dump. Bat futures,have a ball As unlicensed to give investment advice,purely for entertainment porpoises Link to comment Share on other sites More sharing options...
thailiketoo Posted January 16, 2014 Share Posted January 16, 2014 I am a Canadian and our dollar is tanking vs the American buck. Our country is in much better financial shape than theirs soo I go with the manipulation theory Thailand GDP 360 billion. Canada 1.6 trillion. USA 16 trillion. I think you could sell all the money in Canada and Thailand and not move the dollar more than a penny. Link to comment Share on other sites More sharing options...
thailiketoo Posted January 16, 2014 Share Posted January 16, 2014 Never trust a online FX. What that means "trust an online FX" ? You trust what instead ? I wouldnt even grace a statement like that with a reply, paz - our friend is clearly still living in the 70s and walks to the nearest stock exchange each morning expecting to see traders throwing scrip at one another. Tragic. “Chicago Pits Going Quiet” Aug 5, 2013 Link to comment Share on other sites More sharing options...
boatguy Posted January 16, 2014 Share Posted January 16, 2014 (edited) Am I missing something, or are the videos from 60 minutes 'blocked' in Thailand ?? (I got that message on one site where I tried to play the video) What is "60 minutes"? 60 Minutes is an American television newsmagazine program that is broadcast on the CBS television network. Launched in 1968, Don Hewitt created the program and set it apart by using a unique style of reporter-centered investigation. In 2002, 60 Minutes was ranked #6 on TV Guide's 50 Greatest TV Shows of All Time. The New York Times has called it "one of the most esteemed newsmagazines on American television. http://en.wikipedia.org/wiki/60_Minutes BTW, there are OTHER good American TV networks, and FOX news is not one of them. Too bad that's what most folks see over here,.... at least that is what I get on cable up here in Khon Kaen. I can take about 10 minutes of watching that bias crap with a lot of 'entertainment segments' thrown in ever 5-10 minutes to keep their viewers from getting too bored with some intelligent thought rather than just short sound bites. I've taken to watching Aljazeera or NHK for good news presentation. Use to be you could get CNN and BBC over here in Asia, but I don't see that as much as I use to?? Edited January 16, 2014 by boatguy 2 Link to comment Share on other sites More sharing options...
morrobay Posted January 17, 2014 Share Posted January 17, 2014 (edited) What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Edited January 17, 2014 by morrobay Link to comment Share on other sites More sharing options...
chiang mai Posted January 17, 2014 Share Posted January 17, 2014 Let's say that foreign capital inflows have been a feature of the Thai economy since 2007, that's seven years that Thailand has had to strengthen and improve its economy. Just because foreign capital is now starting to flow out doesn't necessarily mean that the economy and the currency must revert to its 2007 levels. As for support: you can look at the BOT foreign currency reserves on a weekly basis to see if BOT has intervened in the market, it appeared from the last report I looked at that there had been minimal intervention during the past two months. http://www2.bot.or.th/statistics/BOTWEBSTAT.aspx?reportID=94&language=ENG Finally, it's very difficult if not impossible to manipulate THB from offshore since it's pretty much a closed currency that is not widely available outside of Thailand. 2 Link to comment Share on other sites More sharing options...
SheungWan Posted January 17, 2014 Share Posted January 17, 2014 What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Straw man arguments can be sustained into infinity by those who don't understand. Link to comment Share on other sites More sharing options...
boatguy Posted January 17, 2014 Share Posted January 17, 2014 Its done it before, and my wife says it has indicated it will do it again to try and maintain the value of the baht. But how long is that sustainable, ...sooner or later it catches up with you. Central Bank intervenes to stabilise the baht http://www.bangkokpost.com/news/local/354945/bank-of-thailand-sells-dollars-to-halt-the-baht-fall Link to comment Share on other sites More sharing options...
chiang mai Posted January 17, 2014 Share Posted January 17, 2014 Its done it before, and my wife says it has indicated it will do it again to try and maintain the value of the baht. But how long is that sustainable, ...sooner or later it catches up with you. Central Bank intervenes to stabilise the baht http://www.bangkokpost.com/news/local/354945/bank-of-thailand-sells-dollars-to-halt-the-baht-fall That was June last year. Link to comment Share on other sites More sharing options...
Berkshire Posted January 17, 2014 Share Posted January 17, 2014 What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Are you sure about the "foreign investment outflows?" 1 Link to comment Share on other sites More sharing options...
Berkshire Posted January 17, 2014 Share Posted January 17, 2014 BTW, there are OTHER good American TV networks, and FOX news is not one of them. Too bad that's what most folks see over here,.... at least that is what I get on cable up here in Khon Kaen. I can take about 10 minutes of watching that bias crap with a lot of 'entertainment segments' thrown in ever 5-10 minutes to keep their viewers from getting too bored with some intelligent thought rather than just short sound bites. I've taken to watching Aljazeera or NHK for good news presentation. Use to be you could get CNN and BBC over here in Asia, but I don't see that as much as I use to?? Agree about Fox News. It's essentially a right-wing propaganda machine, a Republican mouthpiece. Yet, I know quite a few Americans who still adamantly believe that it's a fair, unbiased news channel. Amazing. By the way, you can get CNN and BBC on True Visions...but not sure if you can in Khon Kaen. Link to comment Share on other sites More sharing options...
chiang mai Posted January 17, 2014 Share Posted January 17, 2014 Its done it before, and my wife says it has indicated it will do it again to try and maintain the value of the baht. But how long is that sustainable, ...sooner or later it catches up with you. Central Bank intervenes to stabilise the baht http://www.bangkokpost.com/news/local/354945/bank-of-thailand-sells-dollars-to-halt-the-baht-fall That was June last year. And actually, that particular action by BOT was intended to weaken THB, not strengthen it!!! 1 Link to comment Share on other sites More sharing options...
Naam Posted January 17, 2014 Share Posted January 17, 2014 What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? the so-called manipulation is mainly based on offer and demand as currencies are commodities. and that the Bank of Thailand is since years (most of the time with success) trying to smooth unwelcome big swings in the exchange rate is a well known fact. there are dozens of central banks which act in the same way even though it might not be as obvious and the methods of intervention may differ. Link to comment Share on other sites More sharing options...
morrobay Posted January 18, 2014 Share Posted January 18, 2014 What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Straw man arguments can be sustained into infinity by those who don't understand. Ok- Then why dont you explain it ? Link to comment Share on other sites More sharing options...
morrobay Posted January 18, 2014 Share Posted January 18, 2014 (edited) What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Are you sure about the "foreign investment outflows?" Some of you savvy economists tell me. Im just repeating what I see all over the media. I thought it common knowledge the foreign investment outflows are underway in Thailand for economic and political reasons. Edited January 18, 2014 by morrobay Link to comment Share on other sites More sharing options...
thailiketoo Posted January 18, 2014 Share Posted January 18, 2014 What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Are you sure about the "foreign investment outflows?" Some of you savvy economists tell me. Im just repeating what I see all over the media. I thought it common knowledge the foreign investment outflows are underway in Thailand for economic and political reasons. No foreign investment outflows are underway. Thai baht having best week since October. Feel free to link any information to the contrary. Link to comment Share on other sites More sharing options...
SheungWan Posted January 18, 2014 Share Posted January 18, 2014 What I dont understand is that the baht previously appreciated because of foreign direct investment inflows , thats understandable. But now with foreign investment outflows the baht is not depreciating equivalently ? So yes I suspect manipulation also. Either by central bank or from offshore. Then with that being the case - Is that type of manipulation sustainable ? Are you sure about the "foreign investment outflows?" Some of you savvy economists tell me. Im just repeating what I see all over the media. I thought it common knowledge the foreign investment outflows are underway in Thailand for economic and political reasons. No foreign investment outflows are underway. Thai baht having best week since October. Feel free to link any information to the contrary. Somewhat cherry-picking your weeks on the back of a significant drop in the baht since last April and a less than stellar performance from the SET. Link to comment Share on other sites More sharing options...
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