Do Not Exchange Pounds This Weekend

[topfield]

Last night the pound rose to over $1.98 to the dollar...the highest in 14 years. That equates to 70.90 baht to the pound.

The Thai banks and their exchange booths however are offering the Friday rate which is around one baht per pound less !

Intentionally they have decided not to update their exchange rates this weekend (when the baht strengthens most do revise their rate over the weekend and give less baht to the pound)

PLEASE NOTE : US$ holders unaffected..in fact they could gain by getting their baht this weekend.

[JimsKnight]

Last night the pound rose to over $1.98 to the dollar...the highest in 14 years. That equates to 70.90 baht to the pound.

The Thai banks and their exchange booths however are offering the Friday rate which is around one baht per pound less !

Intentionally they have decided not to update their exchange rates this weekend (when the baht strengthens most do revise their rate over the weekend and give less baht to the pound)

PLEASE NOTE : US$ holders unaffected..in fact they could gain by getting their baht this weekend.

With any luck we'll be seeing 76 baht to the pound before long! Come on sterling work your magic!

[GuestHouse]

I'm hedging my bets, I get paid in Pounds and Euros.

Right now the gain with Euro agains the Bht is almost twice the gain of GBP agains the Bht.

[Briggsy]

Where's Bendix? It's another Topfield post!

We love you, Toppy. You make me smile.

I've never thought I would meet somebody as obsessive as myself!

Keep up the good work.

Gotta go.

[Chivas]

Last night the pound rose to over $1.98 to the dollar...the highest in 14 years. That equates to 70.90 baht to the pound.

The Thai banks and their exchange booths however are offering the Friday rate which is around one baht per pound less !

Intentionally they have decided not to update their exchange rates this weekend (when the baht strengthens most do revise their rate over the weekend and give less baht to the pound)

PLEASE NOTE : US$ holders unaffected..in fact they could gain by getting their baht this weekend.

With any luck we'll be seeing 76 baht to the pound before long! Come on sterling work your magic!

Makes not the slighest difference to the Sterling/Baht exchange if the Thai baht strengthens at the same rate as the dollar is weakening.

Chivas

[marshbags]

Taken from an article in yesterdays Telegraph.

Quote:-

Business comment

By Damian Reece

Last Updated: 1:21am GMT 01/12/2006

Britannia rules currency waves at the dollar's expense

US dollar plunges to a 14-year low

Sterling is once again the queen of global currencies, regaining the crown she held from the 1780s to the collapse of the Gold Standard in the 1920s.

advertisement

Far from wobbling at the first sign of dollar trouble, it is now the ultimate safe-haven currency a Swiss franc on steroids. It has vaulted 15pc against the greenback this year as the consequences of America's great unfunded shopping boom begin to catch up. It outstripped the rest of the currency pack in yesterday's dollar meltdown with a giddy surge to near $1.97.

Technical barriers have been dropping like nine-pins, clearing the way for a run at the $2.01 high last seen in the ERM debacle of 1992. Beyond that it is clear blue sky until the $2.40 zone.

As Lord Lamont said yesterday, this latest drive toward $2 bears no relation to the unhappy circumstances of his time at No 11, when Britain was a recession basket-case that had abjectly tied its fortunes to those of Germany just as the Bundesbank was doing its worst. Now Britain is a global star, with a currency run by an independent and admired central bank. The economy has been re-rated upward, delayed fruit of Margaret Thatcher's courage.

The Swiss central bank has switched 10pc of its reserves into sterling and the Russians are following suit. Italy has trumped with 20pc. Bankers, petrodollar sheikhs and pension funds the world over love our government Gilts. In part, this is because sterling trades in near lockstep with the euro, so it serves as a proxy euro with a higher yield of 1pc or so. Sterling's pride brings a smile to those who can remember the humiliations of 1970s, but it is a double-edged sword.

The risk now is that a dollar liquidation will drive the pound to levels that inflict slow, insidious damage on what remains of our industrial core.

Unquote.

With the expected intervention by the BOT on the Thai Baht i would risk a wait and see policy if you are dealing in Sterling.

marshbags

Edited December 2, 2006 by marshbags

[topfield]

Last night the pound rose to over $1.98 to the dollar...the highest in 14 years. That equates to 70.90 baht to the pound.

The Thai banks and their exchange booths however are offering the Friday rate which is around one baht per pound less !

Intentionally they have decided not to update their exchange rates this weekend (when the baht strengthens most do revise their rate over the weekend and give less baht to the pound)

PLEASE NOTE : US$ holders unaffected..in fact they could gain by getting their baht this weekend.

With any luck we'll be seeing 76 baht to the pound before long! Come on sterling work your magic!

Makes not the slighest difference to the Sterling/Baht exchange if the Thai baht strengthens at the same rate as the dollar is weakening.

Chivas

Absolutely correct , Chivas !!

The only question is when the pound drops against the dollar as it eventually must, will the baht follow it down or will it stay high thereby reducing consirably the nnumber of baht we get for our pounds. My experience over the last few years shows the baht stays strong and does not drop with the pound.

[Briggsy]

So let me just plod through this to see if I get the logic.

The dollar remains weak or gets even weaker in respect to the world's major currencies. Under pressure from exporters, the BOT steps in and weakens the baht by changing the currency exchange regulations.

This will, of course, affect the pound/baht exchange rate provided the pound remains strong. Then people who live off UK pensions or investment income and transfer money into Thailand every few months or so will be, say, 10% better off.

If we put aside the exchange rate conspiracy theory, is this the thrust of this thread so far?

[topfield]

So let me just plod through this to see if I get the logic.

The dollar remains weak or gets even weaker in respect to the world's major currencies. Under pressure from exporters, the BOT steps in and weakens the baht by changing the currency exchange regulations.

This will, of course, affect the pound/baht exchange rate provided the pound remains strong. Then people who live off UK pensions or investment income and transfer money into Thailand every few months or so will be, say, 10% better off.

If we put aside the exchange rate conspiracy theory, is this the thrust of this thread so far?

It is all a gamble.....nothing is certain when it comes to fx. However in past years whenever the pound has fallen back against the dollar after a steep rise , the baht stayed strong. I am therefore buying baht at its current rate (depending where and how you change between 69.70 and 70.70 , the best rate being with the Nationwide.) Everyone must make their own decision on this.

PS do not bank on the BOT succeeding in weakening the baht....they intend to do it by strengthening regulations and not by buying dollars to add to reserves ...the only sure fire way to weaken the baht.

[wasabi]

Does Sterling = Pound? Are they the same thing? Is there more than one type of pound? is this the symbol for it £?

Edited December 2, 2006 by wasabi

[backflip]

"Does Sterling = Pound? Are they the same thing? Is there more than one type of pound? is this the symbol for it £?"

There are at least 3 types of pounds: troy, avoir, and Sterling.

In financial discussions "pound Sterling" = "pound" = "Sterling", and the symbol is as you have shown.

[bendix]

Where's Bendix? It's another Topfield post!

We love you, Toppy. You make me smile.

I've never thought I would meet somebody as obsessive as myself!

Keep up the good work.

Gotta go.

He's here.

I would comment, but seeing how every topfield post is the same, please see my previous comments and reapply.

[topfield]

"Does Sterling = Pound? Are they the same thing? Is there more than one type of pound? is this the symbol for it £?"

There are at least 3 types of pounds: troy, avoir, and Sterling.

In financial discussions "pound Sterling" = "pound" = "Sterling", and the symbol is as you have shown.

Yes , the British currency is the pound as it originally meant a pound of silver in Roman times. The Latin word is librum hence the L symbol with the two lines through it.

This was later copied in America to represent their currency but based on the Roman solidus hence the s with the two lines through.

Nowadays the baht is shown as a B with two lines through it.

However professional currency dealers do not use the word pound or even sterling but refer to it as cable. This is because being the world's major currency up to the Second World War it was sent out to the Empire in cable form after the gold standard collapsed...the first 'digital currency

[Bisto]

Newspaper headlines for today sterling hits $2dollars to the pound sterling.

[Naam]

Newspaper headlines for today sterling hits $2dollars to the pound sterling.

NY close: GBP/USD bid1.98055/ask1.98155

[Bisto]

Dr NAAM

headline front page of Independant seen on Sky news 2.2the pound monday

[Bisto]

Airlines laying on 6 extra flights a day for shoppers to NY from major UK hubs

[Briggsy]

Thanks for the reply, Topfield.

So, if you change today and next week it's 75 Baht to the pound, you will have "lost" around 7%.

This begs 2 questions. Firstly, How desperately do you need the Baht. Do you change Baht on a weekly basis?

Secondly, 7% of what? How much are you changing here? I spend around 7000 Baht a week. This comes to 500 Baht. Actually I see your point. Others may scoff but 500 Baht does it for me.

Let's bandy some figures about. I didn't pass my Accounting A-Level all those years ago for nothing, you know.

[ThaiPauly]

I keep a daily eye on how the baht is doing compared to the pound...but there is absolutley nothing I can do about it ..or want to do about it. When I need cash I transfer money in chunks of 1m baht at a time. If I were to transfer 2m at a rate of 72-73 to the pound now for instance, I would loose out, quite simply becuase the extra mil I have here is doing very little in a Thai bank whereas it is working hard Offshore, and this more than makes up for the drop in the Bahts value against the pound.

It is just about the timing of the transfer.....sometimes I get lucky...sometimes I do not.

I cant see another way round it.

[Briggsy]

With this kind of laissez-faire attitude, you will never be admitted to the higher eschelons of TV's currency speculators' club.

[Meerkat]

Ah Toppers, I see you're back again...

The only question is when the pound drops against the dollar as it eventually must, will the baht follow it down or will it stay high thereby reducing consirably the nnumber of baht we get for our pounds.

It is all a gamble.....nothing is certain when it comes to fx.

Well, which is it? Sterling must come down, or it's all a gamble? As if we don't know the answer already...

However professional currency dealers do not use the word pound or even sterling but refer to it as cable. This is because being the world's major currency up to the Second World War it was sent out to the Empire in cable form after the gold standard collapsed...the first 'digital currency

Er...no.

Cable does not refer to Sterling; it refers to the GBP/USD rate. If you buy Cable, it means you buy GBP and sell USD. Not GBP/THB, GBP/EUR or any other currency pair. You are on the right lines lines with your history though; Cable does refer to the underwater cables between London and NY which were used for currency trading. Interestingly (yawn), USD/HKD is known as TT (Telegraphic Transfer) for an obviously similar reason.

Professional currency traders refer to Sterling as, er, Sterling, or GBP in written form. How do I say this? Um...trust me on this one.

If you want to position yourself as TV's FX expert, it looks like you've still got some self-educating to do.

[bendix]

The irony here is that good old toppers is probably an occasional tourist, bringing in 500 quid for a two week vacation once or twice a year. His posting record supports that.

Which makes the whole 'save 10 satang' on a pound slightly sad.

[topfield]

Ah Toppers, I see you're back again...

The only question is when the pound drops against the dollar as it eventually must, will the baht follow it down or will it stay high thereby reducing consirably the nnumber of baht we get for our pounds.

It is all a gamble.....nothing is certain when it comes to fx.

Well, which is it? Sterling must come down, or it's all a gamble? As if we don't know the answer already...

However professional currency dealers do not use the word pound or even sterling but refer to it as cable. This is because being the world's major currency up to the Second World War it was sent out to the Empire in cable form after the gold standard collapsed...the first 'digital currency

Er...no.

Cable does not refer to Sterling; it refers to the GBP/USD rate. If you buy Cable, it means you buy GBP and sell USD. Not GBP/THB, GBP/EUR or any other currency pair. You are on the right lines lines with your history though; Cable does refer to the underwater cables between London and NY which were used for currency trading. Interestingly (yawn), USD/HKD is known as TT (Telegraphic Transfer) for an obviously similar reason.

Professional currency traders refer to Sterling as, er, Sterling, or GBP in written form. How do I say this? Um...trust me on this one.

If you want to position yourself as TV's FX expert, it looks like you've still got some self-educating to do.

Yes of course cable refers to what was for many years the world's main exchange rate the pound aginst the dollar . Very interesting to hear about cable refering to an undersea cable as in common parlance a cable was another name for a telegraph. Many thanks for that info .

[topfield]

The irony here is that good old toppers is probably an occasional tourist, bringing in 500 quid for a two week vacation once or twice a year. His posting record supports that.

Which makes the whole 'save 10 satang' on a pound slightly sad.

BENDIX Why not contribute some knowledge to this section instead of personalising and criticising ?

Thaivisa was not set up for the purposes you are using this column but for the exchange and spread of ideas and knowledge.

[topfield]

Last night the pound rose to over $1.98 to the dollar...the highest in 14 years. That equates to 70.90 baht to the pound.

The Thai banks and their exchange booths however are offering the Friday rate which is around one baht per pound less !

Intentionally they have decided not to update their exchange rates this weekend (when the baht strengthens most do revise their rate over the weekend and give less baht to the pound)

PLEASE NOTE : US$ holders unaffected..in fact they could gain by getting their baht this weekend.

[MONDAY 4 DECEMBER : Rate at the banks for pounds considerably higher today as predicted.]

[bendix]

The irony here is that good old toppers is probably an occasional tourist, bringing in 500 quid for a two week vacation once or twice a year. His posting record supports that.

Which makes the whole 'save 10 satang' on a pound slightly sad.

BENDIX Why not contribute some knowledge to this section instead of personalising and criticising ?

Thaivisa was not set up for the purposes you are using this column but for the exchange and spread of ideas and knowledge.

Because it's fun to poke fun at someone so compulsively obsessive as you. Your entire posting history is about the minutiae of exchange rate fluctuations and your bizarre theory of Thai banks ripping everyone off.

And because, as so many other people have pointed out, you just don't understand the subject you're professing to be such an expert on.

[Barney_the_Dinosaur]

I am therefore buying baht at its current rate (depending where and how you change between 69.70 and 70.70 , the best rate being with the Nationwide.) Everyone must make their own decision on this.

PS do not bank on the BOT succeeding in weakening the baht....they intend to do it by strengthening regulations and not by buying dollars to add to reserves ...the only sure fire way to weaken the baht.

I'd just like to point out that when Carl Icahn, George Soros or T Boone Pickens make massive interventions in the international currency markets, they also do so via the Nationwide Building Society.

...or the National Girobank.

The money comes from their Nat West Piggy accounts.

[Naam]

Dr NAAM

headline front page of Independant seen on Sky news 2.2the pound monday

GBP/USD 1.97576 1.97604 Tue Dec 5 04:45:08 2006

no further comments.