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Free AccessUSD/THB Hits Fresh Highs, BoT Ready To Curb Excessive Volatility
USD/THB has hit fresh highs today, last at 37.20. We closed yesterday at 37.04, but the bias remains in the pair to test the upside. Broader USD trends remain firm, while local equities continue to track lower. The SET index is back to early 2021 lows, although found some support today at the open near 1430. Offshore investors flows were large yesterday at -$119.7mn.
- The main macro focus today has been comments from BoT Governor Sethaput Suthiwartnarueput (see this BBG link for more details). On FX, the governor noted baht volatility has risen, but the central bank stands ready to curb excessive moves.
- The economic recovery is continuing, with consumption firmer but investment is lagging. Yesterday's shooting incident in a Bangkok mall will have to be watched in terms of impact on tourism related flows the Governor noted.
- Tomorrow the data calendar has September CPI in focus. The market looks for headline CPI at 0.60% y/y (prior 0.88%), while core is forecast at 0.70% y/y (prior (0.79%).
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.