Better US job data temporarily eases pressure on baht

Economy July 08, 2017 15:26

By The Nation

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The baht has slightly weakened after the US Department of Labor reported on Friday that the economy added 222,000 new jobs in June. The US job growth was greater than expected.

The baht weakened on Saturday to slightly over 34 per a dollar after it strengthened to over 33 per dollar on Monday. 

Amonthep Chawla, head of research office at the CIMB Thai Bank, said the easing might be temporary and the baht would be volatile looking ahead. The market is waiting to see data on US GDP in the second quarter and what the Federal Reserve will do about its huge balance sheet, he said. 

Thai exporters have previously complained about a strong baht, fearing it would drag exports in the second half of the year. Appreciation of the baht would make Thai products more expensive in the global market.