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Baht Gains On Cash Handout Scheme, Bangkok's Proposal To Ease Curbs

THB

Spot USD/THB re-opened on a softer footing after Thai ministers OK'd a cash handout scheme, while Bangkok authorities said they will apply for easing local Covid-19 curbs. The rate last changes hands -5 pips at THB29.98.

  • Thai cabinet gave a nod to a $7bn cash handout programme targeting ~31.1mn of low-income individuals. FinMin Arkhom said that the scheme is estimated to boost the GDP by 0.5-0.6pp and has been designed to help the worst-off weather the Covid-19 crisis.
  • Bangkok Metropolitan Administration said it will submit a formal proposal to relax local Covid-19 restrictions. The proposal will be filed with the committee overseeing disease control on Thursday.
  • PM Prayuth pledged to crack down on people spreading misinformation about the government's Covid-19 vaccination plan by ordering prosecution.
  • A break under Jan 13 low/trendline support at THB29.95/93 would give bears a signal for targeting Jan 4 low of THB29.84. Bulls look to take out Jan 18 high/50-DMA at THB30.13/16 before attempting a move at Jan 12 high of THB30.19.
  • Thai customs office will publish the monthly trade report on Friday.

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