Baht Loses Ground, Thailand's Daily Covid Cases Continue To Rise

Spot USD/THB has edged higher after testing its 200-DMA in the wake of yesterday's sell-off. The rate last sits +0.025 at THB32.760, with bulls looking to a rally above Jan 31 high of THB33.467. Conversely, a clean break below the aforesaid 200-DMA at THB32.712 would open up Nov 18 low of THB32.565.

• The Bank of Thailand kept the main policy rate unchanged on Wednesday, as predicted by virtually all analysts, but upgraded inflation and growth forecasts. The central bank said that headline inflation this year is "likely to be higher than expected and may be above target in the first part of the year." Nonetheless, Asst Gov Piti said that the Bank is not yet concerned with inflation, as it does not see broad-based price increases.
• Daily Covid-19 caseload keeps pushing higher and reached a fresh five-month high today, as Thailand reported 14,822 new infections. The national Covid-19 task force will review virus countermeasures tomorrow.
• Thailand's average pork prices have slipped to THB175/kg from THB187/kg on the back of a suite of measures taken by the authorities, according to government spokesman Thanakorn.
• The University of the Thai Chamber of Commerce will publish the results of their monthly consumer confidence survey at the top of the hour.