Baht advances after US Fed meeting sees dollar weaken
The baht opened at 33.40 to the US dollar on Thursday, strengthening from Wednesday’s closing rate of 33.415.
The Thai currency is likely to move between 33.35 and 33.45 to the greenback during the day, Krungthai Bank market strategist Poon Panichpibool predicted.
Poon said that the baht is likely to strengthen after investors knew the result of the US Federal Reserve meeting. The baht might strengthen because the dollar slightly weakened which will cause the gold price to go up.
Moreover, Poon said that he saw a sign that foreign investors are coming back to invest in the baht as they bought the short term bonds for 2.5 billion baht. They will not invest much more until they saw how mergers and acquisitions transactions at the end of this year go.
He added that the baht resistance level would be at 33.30 to the dollar while the support level would be at 33.50 which was the weakest level before the Fed meeting.
