The Thai currency is likely to move between 30.85 and 31.00, Krungthai Bank market strategist Poon Panichpibool said.
He predicted on Friday morning that the baht would tend to fluctuate in line with the dollar’s movement.
He suggested that investors monitor funds flows of foreign investors in the short term, especially in stocks, which can fluctuate, as crude oil price has decreased sharply, affecting energy stocks.
Moreover, if Thailand’s Ten-Year Treasury yield increased sharply, some foreign investors would sell the bonds, the market strategist added, explaining that this situation would weaken the baht.
He added that the baht would not weaken below 30.90 to the US dollar.
The Bank of Thailand will probably help deal with the baht’s fluctuation, which would be reflected in a decrease in foreign exchange reserves.
Published : March 19, 2021
By : THE NATION