USD/THB Firms Post GDP Miss But Remains Sub 36.00

USD/THB is up from earlier lows post the Q4 GDP miss. We were close to 35.90 prior to the print, but rose to 35.98 in the aftermath of the data. We have stabilized somewhat now, last near 35.96.

• This is still firmer in baht terms for the session by around 0.20%. Highs from last week came in at 36.19. On the downside, the rising 20-day EMA trend sits near 35.73, so we arguably have to challenge that to see a more constructive baht outlook.
• At face value, the GDP miss (Q4 fell -0.6% versus -0.1% expected), will raise pressure on the BoT to ease policy rates, although the next policy meeting is not until April. Y/Y growth at 1.7% is towards the bottom end of the range for the past few years.
• Elsewhere, local equities continue to track sideways, while offshore investors remained net sellers of local shares last week (-$92.5mn).