Baht strengthens shortly amid risk factors
The baht opened at 33.65 to the US dollar on Friday, strengthening from Thursday’s closing rate of 33.82.
The Thai currency is likely to move between 33.60 and 33.80 during the day, Krungthai Bank market strategist Poon Panichpibool predicted.
Poon said that the baht might strengthen on Thursday after the Bank of Thailand signalled the worry about the baht volatility. The baht is also supported by the gold price increasing which causes investors to sell.
However, the baht will not strengthen clearly soon until risk factors are solved especially debt ceiling negotiation in the US. Risk factors also include floods and the new Covid-19 wave, Poon added.
He felt the key resistance level would be 34.00 to the dollar. The Thai currency could reach its next resistance level of 34.25 if it weakens, he maintained.
The key support level for the baht would be at 33.60 per dollar, Poon added.
