Thai Baht Gains as Economy Grows
The Thai baht gained today on the speculation that the policy makers won’t prevent the appreciation of the currency as the economic growth increases the inflation pressure.
The report today showed that Thailand’s economy expanded in 2010 with the fastest pace since 1995. The fast economic growth of the Asian countries causes the imbalances in the global economy and the Asian governments may allow their currencies to appreciate and reduce the import gains.
USD/THB fell from 30.5750 to 30.5450 as of 14:53 GMT today.
If you have any questions, comments or opinions regarding the Thai Baht, feel free to post them using the commentary form below.
Earlier News About the Thai Baht:
- Thai Baht Demonstrates Best Performance Since February 2008 (2010-08-31)
- Thai Baht Gains on Capital Inflows & Central Bank's Statement (2010-08-20)
- Thai Baht Rises on Outlook for Growth of Asian Economies (2010-08-18)
- Thai Baht Rises, but Remains Under Pressure (2010-06-30)
- Thai Baht Declines on Political and Civil Crisis (2008-11-27)
4 Comments
Why is this happening. The Thai baht is strengthening like crazy while the dollar crumbles. Is this because of the weakening dollar or the strengthening Thai economy? Also, why is the Vietnamese Dong suffering compared to Thailand?
Two factors – dollar weakening and emerging markets growth. As for the Vietnamese currency – it remains regulated and still suffers from inflation.
And how long will the dollar continue to weaken?
We keep printing money and operating in a post industrial economy; services only. I have a bad feeling that my motherland is crumbling. This worries me.
If I only knew… :)