THURSDAY, March 28, 2024
nationthailand

Baht weakens

Baht weakens

The baht opened at 31.91 to the US dollar this morning (May 25), weakening from Friday’s close of 31.90.

The Thai currency is expected to move between 31.80 and 32, SCB Securities senior market strategist Jitipol Puksamatanan said.
He said investors would tread carefully this week due to their concern about a US-China trade conflict, the Hong Kong pro-democracy protest, and the relaxation of social distancing measures in numerous countries.
The market opened with low fluctuations as Monday is Memorial Day, and would focus on US bond yields, he said.
In Asian financial markets, investors would focus on the direction of the yuan. The Chinese currency weakened last week to 7.14 per US dollar.
Jitipol said the weak point of the yuan and other Asian currencies was international trade, which is not likely to recover as before. Meanwhile, the Hong Kong protest would pressure the stock market and lessen investor interest in other Asian currencies.
The strategist advised investors to focus on Thailand’s current account balance, to be announced this Friday. Also, he forecast that the baht would strengthen compared to other Asian currencies if the kingdom’s current account was in positive territory.
However, selling of dollars by Thai investors would weaken the baht in the short term, he added.

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