FRIDAY, March 29, 2024
nationthailand

Baht expected to move in a narrow range in the short term

Baht expected to move in a narrow range in the short term

The baht opened at 31.13 to the US dollar on Friday (September 18), strengthening from Thursday’s close of 31.15.

The Thai currency is likely to move between 31.05 and 31.25 on Friday, said Jitipol Puksamatanan, head of markets strategy at SCB Securities.
On Thursday night, the S&P 500 fell by 0.8 per cent, while Stoxx 600 fell by 0.5 per cent despite the German government signalling that it was not concerned about Brexit.
After the US interest rate was frozen by the Fed, the Bank of Japan and Bank of England also decided to freeze their interest rate at minus 0.1 per cent to 0.1 per cent, respectively.
In the US, the initial jobless claim reported this week was 860,000 positions, and the dollar weakened by 0.2 per cent.
The yen traded at lower than 105 to the US dollar, while the euro was over 1.185 euros per US dollar.
The strategist said that the baht would move in a narrow range in the short term. The shrinking of the Asian stock market was a risk factor to the currency, since it pressured investors to release the baht and other risk assets from their hands.
However, Jitipol said that the baht situation this time was not worrying, compared to the situation during the Covid-19 crisis. He added that investors should monitor advances in developing a Covid1-19 vaccine, explaining that the baht would recover if the vaccine was successfully developed in the fourth quarter of this year.

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