Baht tipped to swing in a wide range in the short term
The baht opened at 30.80 to the US dollar on Tuesday, unchanged from the last close on Monday.
The Thai currency is likely to move between 30.70 and 30.90, Krungthai Bank market strategist Poon Panichpibool said.
Poon said the baht situation had not changed since last week. In the short term, the currency will fluctuate in a wide range, in line with the dollar.
Poon added that exporters had gradually sold the dollar, after the baht weakened below 30.50 to the US dollar. The baht will tend to stablise near 30.80 to the US dollar, he added.
In the future, he predicted that it was possible the Thai currency would strengthen again if the dollar weakened and foreign funds flowed back into the Thai capital market.
The strategist said that the market on Tuesday would monitor fluctuations in Asia, especially the sales of bonds in the long term.
Meanwhile, the Asian stock market would possibly be supported by the sales of cyclical and value stocks. And this would delay foreign funds flowing out of the region, as well as Asian currencies weakening.
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