Bangkok, October 4 – The value of the baht depreciates further. Amid negative factors flooding the stock market, putting pressure on Thai stocks to decline further, the lowest decline in two years and 9 months
The value of the baht today (October 4) reached its weakest level in 11 months, a new high of 37.19, before moving back around 37.15-37.17 baht per dollar. This morning (10:00 AM), I followed the movement of the US dollar, as the dollar index against 6 major currencies in the currency basket rose 0.09% to 107.0062, the highest level in 10 months, as it was revised in line with the trend. Yields on 10-year US Treasury bonds rose to their highest level in 16 years after the latest US employment data led markets to expect the Federal Reserve to keep interest rates high for a longer period of time. The baht moves in the same direction as the regional currencies. In addition, China’s economic numbers are not good. Meanwhile, the Thai economy is expected to recover slowly and there has been no progress on monetary and fiscal policy.
As for the Thai Stock Market (SET), this morning it fell in the first period by more than 16 points after the international market and rebounded higher at 11.14 am, falling only 4.31 points, to move at 1,442.39 points.
Negative factors include the flow of funds that continue to flow, said Mr. Terasak Tanawarakul, Director of Analysis at CGS-CIMB Securities. The value of the baht fell to 37 baht per dollar. Including the impact on tourism from the Paragon Department Store shooting. It’s all pressure. The market has a chance to continue falling. The important support level this time is 1420 points. If the index falls to this support level, it will be considered a major downtrend. Then it will return gradually.
“For the pool of securities to rebound, foreign investors will have to sell smaller amounts,” he said. “The baht has weakened to 37 baht per dollar and the Bank of Thailand is likely to intervene to prevent the baht from falling too quickly,” Mr. Terasak said. “This will be a factor that pushes the market to adjust downward.” Within a limited scope.” – Thai News Agency
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