Political and export situation may prompt investors to sell baht
The baht opened at 31.69 to the US dollar on Monday morning (July 20), unchanged from Friday’s close of 31.69.
The Thai currency is expected to move between Bt31.67 and 31.87, said Jitipol Puksamatanan, head of Markets Strategy at SCB Securities.
This week, the financial markets would be in a risk-off state, after investors decided to sell stocks of tech companies whose turnover has contracted.
Also, the dollar would strengthen, while the euro would weaken, since EU executives last week could not agree on economic stimulus policies.
Investors were expected to sell the baht due to concerns about the political and export situations in Thailand.
This week, the strategist advised investors to monitor the turnover announced by big companies, such as Tesla, Twitter, UBS, Unilever and Coca-Cola.
In addition, the People's Bank of China was expected to freeze the prime rate of one-year-loan and five-year-loan at 3.85 per cent and 4.65 per cent, respectively.
Thai export and import data will be announced on Wednesday, while the US initial jobless claims will come out on Thursday.
