Baht strengthens on capital inflows

The Thai currency is likely to move between 30.20 and 30.40, said Jitipol Puksamatanan, senior director of the chief investment office at SCB Securities.
On Wednesday, global stock markets rose. In the US, the S&P 500 increased by 0.8 per cent, almost reaching its highest point. Europe’s Stoxx 600 grew by 1.1 per cent as investors believed the global economy would recover next year, he said.
Meanwhile, the dollar strengthened by 0.3 per cent, compared to other main currencies. The German Ten-Year Treasury yield decreased by 2 basis points to -0.51 per cent after Brexit talks.
The Reserve Bank of New Zealand decided not to enforce a negative interest rate policy. The New Zealand dollar strengthened by 1.1 per cent on Wednesday.
In Thailand, the baht continued to be supported by capital flowing in from foreign investors, and would strengthen in line with other Asian currencies, Jitipol said.
Investors are interested in investing more money in Asian countries as costs are lower than in other regions, he added.