Thursday, September 23, 2021

business

Covid crisis, rising dollar expected to sap baht


The baht opened at 33.32 to the US dollar on Thursday, weakening from Wednesday’s closing rate of 33.30.

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The Thai currency is likely to move between 33.25 and 33.40 during the day, Krungthai Bank market strategist Poon Panichpibool said.

The baht could be volatile as exporters continue to sell the dollar while investors short-sell the Thai currency as the Covid-19 situation has almost reached its worst point yet.

Poon said the baht was likely to fluctuate and weaken due to the Covid-19 crisis and the rising dollar, amid demand for safe-haven assets and the Federal Reserve’s decision to reduce quantitative easing this year.

He expected the key resistance level would be between 33.40 and 33.50 to the US dollar as exporters are waiting to offload the dollar.

Meanwhile, he said, the key support level would be around 33.00 to the dollar, which is the price range importers are waiting for before they make purchases.

Published : August 19, 2021

By : The Nation