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MONDAY, September 25, 2023

Baht could touch 36.30 during the day: market strategist

Baht could touch 36.30 during the day: market strategist
THURSDAY, August 04, 2022

The baht opened at 36.26 to the US dollar on Thursday, strengthening from Wednesday’s close of 36.28.

The currency is expected to move between 36.10 and 36.30 during the day, Krungthai Bank market strategist Poon Panichpibool predicted.

Poon said the currency market is in a risk-on state and might provide the dollar with support to strengthen, especially if foreign investors go for mass purchases of Thai stocks again once the tension between China and the US eases over Taiwan.

However, he suggested investors beware of currency market volatility that might increase after a key Bank of England meeting.

If the BOE shows concern about a shrinking or regressing economy at the end of the year, it might pressure the pound sterling to weaken and in turn support the dollar, which could strengthen.

Poon also advised investors to use hedging tools such as options to manage risks in a highly volatile currency market.