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Baht Ticks Further Away From Cycle Lows, BoT Speak Awaited

THB

Spot USD/THB has extended its recent pullback from cyclical highs (THB36.340) at the start to the new week, even as indices of broader greenback strength are picking up. The rate sits -0.110 at THB35.908 as we type.

  • From a technical perspective, a retreat under Jun 29 low of THB34.960 would suggest that the bullish tide may be turning. Meanwhile, initial topside focus falls on Jul 7 high of THB36.340. Above there would open Jan 18, 2016 high of THB36.382 & Oct 2, 2015 high of THB36.665.
  • Nothing much to write home on domestic headline flow from over the weekend.
  • Coming up today we have speeches from BoT Gov Sethaput (on southern Thai economy situation and challenges) & FinMin Arkhom.
  • There is nothing of note on the local data docket this week, apart from the regular weekly update on foreign reserves. Domestic financial markets will be shut on Wednesday in observance of a public holiday.

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