THURSDAY, March 28, 2024
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Baht strengthens on continuous dollar sales

Baht strengthens on continuous dollar sales

The baht opened at 31.41 to the US dollar on Friday morning (August 21), strengthening from Thursday’s close of 31.44.

The Thai currency is expected to move between 31.30 and 31.50, said Jitipol Puksamatanan, head of Markets Strategy at SCB Securities.
On Thursday night, the S&P 500 increased by 0.3 per cent, while Stoxx Europe 600 decreased by 1 per cent, from investors’ concerns of a second wave of coronavirus in Italy and the conflict between the US and Iran.
The initial jobless claim announced lately was 1.1 million positions, eroding the market’s faith of a quick recovery for the US economy. The country’s Ten-Year Treasury yield fell by 3 basis points to 0.64 per cent, and the German yield returned to minus 0.49 per cent.
The dollar weakened by 0.2 per cent, compared to other main currencies.
The strategist added that the market was interested in Brexit. This lifted the pound to $1.32 per pound.
At the same time, the baht presently is not moving in line with other financial assets. In the short term, the strategist mentioned that the baht was sustained by dollar sales. However, the currency could strengthen if concerns of a second Covid-19 wave in Thailand was reduced.

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