Tue, October 19, 2021

in-focus

Baht strengthens but all eyes on FOMC meeting


The baht opened at 31.30 to the US dollar on Tuesday (September 15), strengthening from Monday’s close of 31.33.

The Thai currency is likely to move between 31.20 and 31.40 on Tuesday, said Jitipol Puksamatanan, head of markets strategy at SCB Securities.
On Monday night, the financial markets were in risk-on state, with the S&P 500 rising by 1.27 per cent and Stoxx 600 going up by 0.1 per cent.
The buoyancy was mostly because of a recovery in tech stocks, which had seen a sharp downturn last week. WTI crude oil price was down by 0.2 per cent, after Oil and Petroleum Exporting Countries predicted that oil demand would not regain high levels in 2021.
Bonds moved in a narrow range, while the dollar on Monday night weakened by 0.3 per cent. The yen strengthened to 105.7 yen per US dollar, after Yoshihide Suga was chosen as Japan's new prime minister.
In Thailand, the baht weakened after foreign investors decided to reduce the baht in their hands. However, SCB's chief investment office saw this movement as not very important in the financial market, and would review the situation after the US Federal Open Market Committee meeting this week.

 

Published : September 15, 2020

By : THE NATION