Thai Baht Weakened by Threat of Intervention
The Thai baht fell today on concerns that the Thai policy makers will intervene to curb appreciation of the currency, joining the so-called currency war.
The baht, as well as other Asian currencies, was appreciating as capital inflows in Asia persisted. The appreciation led to worries that Thai exporters will suffer from the strong currency. Many nations (Japan among others) weaken their currencies to support exports, so why Thailand should stay away? Worries that the Asian country will indeed join the currency war hurt the baht today.
USD/THB rose from 29.7450 to 29.7850 as of 11:11 GMT today and its daily high was at 29.8150.
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Earlier News About the Thai Baht:
- Thai Baht Gains on Optimism Spurred by Obama's Reelection (2012-11-09)
- Baht Falls as Central Bank Cuts Growth Outlook (2012-08-17)
- Baht Posts Biggest Weekly Drop in 2011 (2012-05-25)
- Thai Baht Falls as Finance Minister Concerned About Strong Currency (2012-03-23)
- Thai Central Bank Cut Interest Rates, Baht Weaker (2012-01-25)