The Nation



Baht falls under pressure

The Thai baht has fallen under pressure of continued political chaos and the tapering of the US quantitative easing programme.

At 8.13am, the Thai currency continued its slide, shedding another 0.09 per cent from the previous closing to 32.24 per US dollar. During this week, the baht fell 0.40 per cent agains the greenback.

On September 5, 2013, the baht fell to 32.33.

It also weakened against the euro and Japanese yen, losing 0.46 per cent and 0.67 per cent against the currencies today to 44.05 and 31.66, respectively.

Thailand has witnessed capital outflows as foreign investors are shifting investment back to the US, as it is expected that the US Federal Reserve Board would soon taper or cut its bond-purchasing programme from US$85 billion a month soon.

Political chaos at home also encouraged investors to dump Thai shares.

In the first week of December, cumulative foreign net-sell of Thai shares was worth Bt15.14 billion. This pushed the year-to-date net-sell to Bt168.47 billion.

More sell-off is expected today as the SET index has lost 17 points or 1.28 per cent as of 4.07pm

Comments conditions

Users are solely responsible for their comments.We reserve the right to remove any comment and revoke posting rights for any reason withou prior notice.