Limited downside for baht even if dollar strengthens
The baht opened at 31.26 to the US dollar on Monday, unchanged from Friday’s close.
The Thai currency is likely to move between 31.20 and 31.30 during the day and between 31.15 and 31.45 within this week, Krungthai Bank market strategist Poon Panichpibool said.
The baht would tend to move sideways in line with the dollar and funds flow of foreign investors, he said, adding that the Thai currency was still pressured by the Fed’s statement on quantitative easing.
The market strategist added that the baht would not weaken sharply even if the dollar strengthened, as exporters aimed to sell the US currency. Gold trade was another factor to support the baht, he said.
Negative factors hampering investments in Thailand were the Covid-19 crisis and vaccine procurement.