Baht Appreciates To Strongest Level In 8 Years

[george]

Baht appreciates to strongest level in 8 years

BANGKOK: -- Thailand's baht currency unit appreciated to plateau at 36.39 to the US dollar Tuesday morning, its strongest in eight years, boosted by a dumping of the greenback and a capital inflow into the Thai bond market, according to a Bangkok money dealer.

Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected.

The strengthening of the Thai currency also stemmed from capital inflow into the bond market in large amounts.

The next scheduled support levels of the baht is 36.30, 36.20, and 36 to the US dollar.

"Today, the baht has appreciated in the same direction with other regional currencies including the Philippine peso, Singapore dollar, Taiwan dollar and South Korean won, which is the strongest in nine years," Ms. Pattaravadee said.

However, she said, the Bank of Thailand would not remain passive in response to the current baht movement because the currency had appreciated too rapidly.

The central bank had closely monitored the baht' s movement in the past. So, she believed it would come up with a measure to curb the stronger baht.

Under the current circumstances, Ms. Pattaravadee said, she wanted exporters to count on financial tools such as forward or spot contracts to hedge against the currency exchange rate volatility.

--TNA 2006-11-14

Latest currency exchange rates:

http://www.thaivisa.com/exchange_rates.0.html

Currency converter:

http://www.thaivisa.com/currency_converter.0.html

[lanny]

"Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected."

This doesn't make sense. It the Yen went fro 117.55 to 118, it depreciated. At 118, you get more yen for your dollar. At 36.39, you get ""less baht, not more.

Edited November 14, 2006 by lanny

[deminister]

The Americans are overspending their fiscal sanity is long gone. If the Thai Central bank thinks that they should intervene they have not learned their lessons. But do not worry there is help around the corner. With the current government in place, who have to please their boy and girlfriends (see MCOT where they have their hands already in the cookie jar) and the fact that the elite will want to be rewarded, the baht is likely to fall. We already see that for fiscal 2007 the men in uniform have opted for a 50% increase in the deficit.

[scratt]

.. never mind..

Edited November 14, 2006 by scratt

[Soju]

"Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected."

This doesn't make sense. It the Yen went fro 117.55 to 118, it depreciated. At 118, you get more yen for your dollar. At 36.39, you get ""less baht, not more.

Good spotting. Wonder how much money Kasikorn loses annually due to hiring employees who don't know when a currency is appreciating and when it's depreciating.

[ehs818]

Another perfect example of 'Thai Thinking".

[King Dong]

"Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected."

This doesn't make sense. It the Yen went fro 117.55 to 118, it depreciated. At 118, you get more yen for your dollar. At 36.39, you get ""less baht, not more.

Edited November 14, 2006 by King Dong

[RamTodatry]

Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected.

The strengthening of the Thai currency also stemmed from capital inflow into the bond market in large amounts.

The next scheduled support levels of the baht is 36.30, 36.20, and 36 to the US dollar.

The first part of her comments do not make sense, if that is what she said wrt the Japanese Yen. (Or maybe it is typo by George). Whereas the comment "next scheduled support levels of the baht is 36.30, 36.20, and 36 to the US dollar" is indeed correct wrt the the That Baht appreciating - as one would need to spend fewer dollars to get That Baht. Anyway this bad news for Thai exporters unless they "count on financial tools such as forward or spot contracts to hedge against the currency exchange rate volatility", which does make sense if they happen to guess the direction of the Thai Baht correctly.

Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected.

The strengthening of the Thai currency also stemmed from capital inflow into the bond market in large amounts.

The next scheduled support levels of the baht is 36.30, 36.20, and 36 to the US dollar.

[danone]

the baht is and remains a banana currency.

investors have absolutely no reason at the moment to put money into thailand, as insecure the whole nominee and similar issues are.

but: the currency can easily be influenced/attacked. the central bank already jumped on the bandwaggon. by squeezing the central bank quite some money can be made.

the strengthening of the baht therefore has nothing to do with fundamental values. its pure speculation, furthermore related to the movements of the dollar towards other currencies.

[Hadrian1]

The yen has got stronger over the last month. It must be a typo....

[yeti]

It should say that the dollar has weakened to its lowest level in 8 years, as the dollar decreases against all major currencies.

The baht itself has decreased against euro this month...

[onebir]

the strengthening of the baht ... (is) related to the movements of the dollar towards other currencies.

absolutely, as the original quote from the money dealer indicated:

"Today, the baht has appreciated in the same direction with other regional currencies including the Philippine peso, Singapore dollar, Taiwan dollar and South Korean won, which is the strongest in nine years," Ms. Pattaravadee said.

it looks not so much to be a strengthening of the baht - which would involve the baht strenghtening against other currencies - as a weakening of the dollar.

the recent movements in the federal reserve board trade weighted dollar index, from a peak of 109 around 10 oct, to the mid 107s recently, seem to confirm this.

(see http://www.federalreserve.gov/Releases/H10...y/indexb_b.txt)

[hardy1943]

It should say that the dollar has weakened to its lowest level in 8 years, as the dollar decreases against all major currencies.

The baht itself has decreased against euro this month...

Correct, Dollar has been very strong against the Yen the last 6 month , matter of fact

Dollar = 119-120 Yen is the highest in 5 years or more.So if you are Japanese and retired in Thailand you get about 30% less for your Yen in Baht then you did 2 years ago.We all remember when the

EURO = 50+ BAHT and right this minute it is EURO= 46.9

[JimsKnight]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

[cclub75]

You'll note with great relief the last statement of the Finance "minister". With relief because it's the proof that what they have in common, TRT, democrat or junta, is the "big mouth policy"...

Stronger baht not affect exports: Pridiyathorn

Finance Minister and Deputy Prime Minister MR Pridiyathorn Devakula said current baht appreciation would not affect much on exports after the Thai unit rose to almost eight-year high Tuesday.

http://www.nationmultimedia.com/breakingne...newsid=30018954

[hardy1943]

It should say that the dollar has weakened to its lowest level in 8 years, as the dollar decreases against all major currencies.

The baht itself has decreased against euro this month...

Correct, Dollar has been very strong against the Yen the last 6 month , matter of fact

Dollar = 119-120 Yen is the highest in 5 years or more.So if you are Japanese and retired in Thailand you get about 30% less for your Yen in Baht then you did 2 years ago.We all remember when the

EURO = 50+ BAHT and right this minute it is EURO= 46.9

I should have added it the Baht that so much stronger against the major currencies.

Which will in return make it it much harder for Thailand to export their products.

[skippybangkok]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

Yep and good for people with Baht

[hardy1943]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

Yep and good for people with Baht

Lets face it even if the Baht goes to 35 per Dollar. Thailand still is a beautiful

and inexpensive place to live. We which are from the US were getting spoiled 1$ =40+ Baht.

Under the Clinton administration in the 90's and the US was healthy and running a surplus

the Baht was around 35. Let not complain so much we are living in a wonderful country

and let enjoy to live in the land of SMILES

[hardy1943]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

You are right, but it is because of Bush and his incompetence and his lies and getting

the Patriot Act passed and everyone is a terrorist suspect. Let hope the newly elected

Democratic Congress will repeal some of ridiculous and unconstitutional laws.

[Gary A]

It appears to me that the world doesn't have much faith in the democrats either. The dollar has dropped like a rock since the election. I live here on dollars and it's beginning to look like I may soon be able to live in the US just as well for the same amount of dollars.

[PuaSai]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

Yep and good for people with Baht

How is it getting harder to transfer the money?

[letsryan]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

Amen. As a writer struggling to make it at all, I can tell you that receiving less and less for the little work I get is making things that much tougher... time to find some Thai outlets!

[khunstuart]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

Yep and good for people with Baht

How is it getting harder to transfer the money?

I get paid in POUNDS STERLING the baht has not strenghthend at all against that still around 69 to 70. So I dont see how they are comming up with this

[mitrapaap]

"Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected."

This doesn't make sense. It the Yen went fro 117.55 to 118, it depreciated. At 118, you get more yen for your dollar. At 36.39, you get ""less baht, not more.

Good spotting. Wonder how much money Kasikorn loses annually due to hiring employees who don't know when a currency is appreciating and when it's depreciating.

Oh sure, excellent spotting. Just wonder how you guys figured out whether the Bank employee said it the wrong way or the one who listened and wrote it down the wrong way. You are so smart guys, I don't know how you can survive surrounded of all these idiots.

[hardy1943]

How is it getting harder to transfer the money?

We as US citizens have to have US Bank accounts and a US address for our pension

or social security to be automatic deposit in our accounts. We then withdraw the money

with our ATM cards. Some US banks have stopped ATM withdrawals in most countries included Thailand. I have 3 US Bank accounts and I can shift money from one to the other, but I can not

transfer them into my Thai bank accounts. There is no agreement between Thailand and the US.

Also because of Bushes Homeland Security Act everyone is a terrorist suspect so one bank has cut my daily withdrawal limit just 6 month ago from $1000 a day to $200.

IF SOMEONE KNOW A BETTER WAY TO TRANSFER MONEY PLEASE LET ME KNOW

[lannarebirth]

the baht is and remains a banana currency.

investors have absolutely no reason at the moment to put money into thailand, as insecure the whole nominee and similar issues are.

but: the currency can easily be influenced/attacked. the central bank already jumped on the bandwaggon. by squeezing the central bank quite some money can be made.

the strengthening of the baht therefore has nothing to do with fundamental values. its pure speculation, furthermore related to the movements of the dollar towards other currencies.

One thing that is "different this time" is the Thai Bond market. It did not exist at the time of the '96 meltdown. Bonds tend to spread risk around and "usually" are held by strong hands, as opposed to the fast money emerging equity crowd that hits and runs from Thai markets every few years. If Bonds are appreciating things ARE more stable.

[ray23]

It appears to me that the world doesn't have much faith in the democrats either. The dollar has dropped like a rock since the election. I live here on dollars and it's beginning to look like I may soon be able to live in the US just as well for the same amount of dollars.

Well Gary 25 is my number and then I have to seriously think in terms of relocation.

Because then I wouldn't be living any longer I would be existing, With $36,000 a year income I could do the same in the right place in the states. I prefer to Live.

Plus I would be right on the edge for a single visa, thats not a good place to be. If they will even except income any,longer as opposed to cash in the bank. At that point we would be talking about roughly $32,000 no can do.

Being married it would have to go further before I coudn't do it. But I would sure have to change my lifestyle a lot.

[tropo]

Times are getting hard for US citizens getting the $$$ transferred across from the states....

Not only the US citizens. The lion's share of stock, options, futures and currency trading takes place on the US market too. I make my money on the US stock market....same problem.

[tutsiwarrior]

How is it getting harder to transfer the money?

We as US citizens have to have US Bank accounts and a US address for our pension

or social security to be automatic deposit in our accounts. We then withdraw the money

with our ATM cards. Some US banks have stopped ATM withdrawals in most countries included Thailand. I have 3 US Bank accounts and I can shift money from one to the other, but I can not

transfer them into my Thai bank accounts. There is no agreement between Thailand and the US.

Also because of Bushes Homeland Security Act everyone is a terrorist suspect so one bank has cut my daily withdrawal limit just 6 month ago from $1000 a day to $200.

IF SOMEONE KNOW A BETTER WAY TO TRANSFER MONEY PLEASE LET ME KNOW

if possible, get your dollars into an offshore dollar account...outside of the US the rest of the banking world pays no attention to Bush's absurd fascist pronouncements. I got my dollars in an HSBC offshore account and no probs transferring any amount of dollars into my wife's local thai account...shouldn't be too hard to set up yer own local thai account for this purpose...

check it out...

Edited November 14, 2006 by tutsiwarrior

[anon467367354]

"Pattaravadee Chinkulkitniwat, the money dealer of Kasikornbank Plc, said the baht had continued to strengthened in the same direction with the Japanese yen, which appreciated to 118 from 117.55 to the US dollar since the economy expanded more than expected."

This doesn't make sense. It the Yen went fro 117.55 to 118, it depreciated. At 118, you get more yen for your dollar. At 36.39, you get ""less baht, not more.

Does anybody here really think that the Thai people are interested in converting American dollars into baht? It seems that if it only takes 36 baht to make a dollar instead of say 40 baht, the baht is stronger against the dollar. The complaints are coming from those with foreign money that want the most out of a conversion. I'm not quite sure, but som nom na almost seems in order.