Thailand Tightens Restrictions In Bangkok, Inspiring Calls For New Relief Measures

Spot USD/THB rangebound this morning, last seen +0.048 at THB31.820, with focus on the latest tweaks in Covid-19 curbs. Bulls look for a break above Jun 24, 2021/May 25, 2020 highs of THB31.980/31.002. Bears look for losses past the 50-DMA, which kicks in at THB31.337.

• Thailand ordered restaurants in Bangkok and neighbouring regions to halt dine-in services for a month. The new rule came on the heels of Friday's decision to ban movements from camps for construction and factory workers in the area, in a bid to stop the spread of Covid-19 infections. Meanwhile, the "Phuket Sandbox" is set to go ahead as planned, with the resort island prepared to welcome foreign visitors exempt from quarantine requirements on Thursday.
• Thai business associations have called for new relief measures, pointing to the impending economic hit from tighter restrictions. The University of the Thai Chamber of Commerce estimated that the ban on dine-in services will cost around THB30-60bn per month, or 0.1%-0.3% of GDP. Meanwhile, a majority of Thai citizens disagreed with the gov't's plan to reopen the economy within 120 days in the latest NIDA poll.
• A Bangkok Post source revealed that the first positive case of the Beta variant of coronavirus (originally found in South Africa) has been confirmed in Bangkok.
• BoT Dep Gov Supapongse will open a seminar on the new era for Thai tourism today, while PM Prayuth will chair a meeting of the Board of Investment.
• The main point of note on the local docket today is the release of M'fing Production Index, which is expected to rise 20.00% Y/Y, according to BBG consensus forecast. BoP current account balance & trade balance come out Wednesday, while Markit M'fing PMI & Business Sentiment Index are due Thursday.