The Phuket News Premier League predictions The Phuket News Kata Rocks The Phuket News
The Phuket News Business News
The Phuket News Phuket | Thailand | World | Business | Q&A | Weird World XML, RSS, Feed
The Phuket News The Phuket News
The Phuket News

Baht hits one-year high against US dollar

BANGKOK: The baht hit a one-year high against the US dollar yesterday (Aug 1), tracking emerging-market currency strength as fading prospects of a US rate increase revved up investor appetite.

economics,


Bangkok Post

Tuesday 2 August 2016, 10:40AM


The baht hit a peak of 34.72 to the dollar on Monday (Aug 1). Image: PostGraphics
The baht hit a peak of 34.72 to the dollar on Monday (Aug 1). Image: PostGraphics

TMB Analytics vice-president Jitipol Puksamatanan said the baht’s passing of 34.76 against the greenback was a new high in a year, with capital inflows registering in domestic equities identified as the main source of the currency's appreciation together with Thai companies repatriating overseas dividends.

Both Brexit and weaker-than-expected US economic readings are seen as the main causes of the strengthening baht as greater fund flows have shifted towards investment in emerging markets, he said.

The baht hit a peak of 34.72 to the dollar yesterday.

Stimulus measures announced by the Japanese government and the Bank of Japan are not seen as having a substantial impact on the baht’s appreciation, Mr Jitipol said.

“The baht has not appreciated considerably as its year-to-date appreciation is registered at 3.8 per cent against the US dollar, compared with a 5-6% year-to-date appreciation of the Malaysian ringgit and Singapore dollar,” he said.

Although the Bank of Thailand is not expected to resist the baht’s appreciating trend, the central bank is expected to continue to intervene in foreign exchange in order to stabilise its value, Mr Jitipol said.

The central bank is deemed to have done well amid the prevailing currency war as reflected by the baht’s stable value, he said.

But businesses could be confused about how the central bank has held its 1.5% policy interest rate for a long period as the move does not signal a clear economic recovery, whereas other central banks have opted to lower interest rates amid low inflationary pressure, he added.

The baht’s value is expected to move within a range of 34.6 to 34.95 this week, Mr Jitipol said.

Foreign portfolio investment was registered at US$2.23 billion (B77.569 billion) in June, up significantly from a contraction of $549 million a month earlier, according to Bank of Thailand data.

Of the $2.23 billion, $1.25 billion was attributed to equity investment and $977 million to debt securities investment.

Substantial foreign fund inflows in June were a result of foreign investors returning to buy Thai securities following the Brexit vote and the US Federal Reserve being expected to delay its interest rate normalisation until year-end or early next year, said the central bank's latest Economics and Monetary Conditions Report.

Short-term borrowing by financial institutions and foreign direct investment in the telecommunication sector were other factors contributing to significant capital inflows.

The Thai stock market, bucking the regional upward trend, lost 0.75% yesterday to close at 1,512.62 points as profit taking intensified in the afternoon' after the SET index reached the day’s high of 1,533.75 in morning trade, with brisk turnover of B72.7 billion.

Foreign investors stretched their buying spree in Thai shares but at a slower pace, buying B751 million more than they sold.

Phillip Securities’ assistant vice-president Teerada Chanyingyong said investors locking in profit after the recent rally could be blamed for the retreat.

 

Read original story here.

 

 

The Phuket News
The Phuket News
Comment on this story
* Please login to comment. If you do not have an account please register below by simply entering a username, password and email address. You can still leave your comment below at the same time.
Comments Here:

Comments Left: Characters
Username:
Password:
E-mail: (No Hotmail, Live, MSN and Outlook accepted at this time)
Security:
   => Forget password?

Be the first to comment.

The Phuket News
The Phuket News The Phuket News The Phuket News
The Phuket News
Share this
The Phuket News
Have a news tip-off? Click here
The Phuket News
Related stories
The Phuket News
Phuket community

Recent Comments


Phuket Gov repeats call to solve rubbish, wastewater issues

...'Living here', as a expat is fine. Wondering? No wondering. Considering the expat has his/her own transportation means. Tourists not. E...(Read More)


Drunk drivers risk having cars seized over New Year

Again the same yearly nonsense. A few days confiscation only, for cars and motorbikes. And as usual the owners can half the confiscation time with th...(Read More)


Phuket Gov repeats call to solve rubbish, wastewater issues

Wondering why people live here if it is such a messed up place as they say....(Read More)


Vietjet launches Phuket, Ho Chi Minh flights

Well, just being ironic speaks some times book chapters. Right? Anyway a airline is not a 'Playboy' print shop....(Read More)


Experts back move to buy speed cams

As long Phuket authorities can not handle ticketing of 5 very expensive installed speed camera's ( they stopped fining traffic culprits), that lon...(Read More)


Phuket Gov repeats call to solve rubbish, wastewater issues

Phuket suffers corruption, absence of normal public transport, waste water flowing over the beaches, the enormous amount of rubbish everywhere. Also ...(Read More)


Phuket tourists dissatisfied with beach trash and water quality, reveals survey

You can see the rubbish in the pictures. Look at the first one, someone's left an big ugly "NO SWIMMING" sign right in the middle of the...(Read More)


Vietjet launches Phuket, Ho Chi Minh flights

No,the pictures are taken from a "Vietjet"calendar ,as stated in the article.Nothing to do with "Bangla Road".Nice girls by the wa...(Read More)


Experts back move to buy speed cams

With the greatest respect this is nonsense. The number of road deaths in thailand has increased again this year which shows that speed cameras don'...(Read More)


Experts back move to buy speed cams

Lets hope they budget for paper for tickets this time, unlike the current useless cameras in Kamala and elsewhere. 'the rest is rewarded to th...(Read More)

The Phuket News
Bangkok Hospital Phuket
PHUKET NEWS
Phuket
Thailand
World
Business
Q A
Weird World
ARCHIVE
POLL
CURRENCY
WEATHER
PHUKET TIDE TABLE
The Phuket News PHUKET LIFE
Phuket Arts
Phuket Community
Phuket Culture
Phuket Dining
Phuket Education
Phuket Entertainment
Phuket Environment
Phuket Health
Phuket People
Phuket Technology
Phuket Travel
World Entertainment
Photo Galleries
COLOURING BOOK
The Phuket News PHUKET SPORT
Phuket
Thailand
World
SURF REPORT
PREDICTIONS
The Phuket News PHUKET CLASSIFIEDS
Phuket Buy and Sell
Phuket Jobs
Phuket Property
Phuket Cars and Boats
Phuket Community
Phuket Services
SEARCH CLASSIFIEDS
POST CLASSIFIED
The Phuket News The Phuket News PHUKET EVENTS
Phuket Event listings
Phuket Event calendar
Buy Tickets
POST EVENT
The Phuket News PHUKET DIRECTORY
Phuket Bars, pubs and clubs
Phuket Hotels and villas
Phuket Restaurants
Phuket Yellow Pages
POST LISTING
The Phuket News BARGAINS
The Phuket News ABOUT US
The Company
Distribution points
Subscribe
Advertise with us
Pay for advert
Contact us
CONTESTS
Content Google Map
Site map
Australian Visa Services
 
Currency - The Phuket News   Weather Report - The Phuket News   Surf Report - The Phuket News
LinkedIn - The Phuket News   Twitter - The Phuket News   YouTube - The Phuket News   Facebook - The Phuket News
Copyright © 2017 Class Act Media. All rights reserved. | Website usage terms and conditions | Privacy and Confidentiality Statement.