The second thing any violence at the Surpreme Court in reference to revoking bail on the Reds. I don't really see anything resolved in the ongoing political situation. Violence the foreighners will bail out of the market and the baht will loose ground. That one I'm fairly confident and isnlt a matter of if. But, when.
What Say Ye Jimbo ?
Baht advances, bonds rise
Published: 9/08/2012 at 05:50 PM Online news:
Thailand's baht strengthened and government bonds rose for a third day on Thursday after foreign funds boosted holdings of the country's assets.
Overseas investors bought US$115 million more Thai equities than they sold in the first three days of this week and pumped a net $665 million into government debt, according to data from the stock exchange and the Thai Bond Market Association. Monetary stimulus should be retained as an option until there is greater clarity on the impact of the global economy on Thailand, the central bank said in the minutes of its July 25 policy meeting released on Wednesday.
"Fund inflows are supporting the currency," said Yuji Kameoka, chief currency strategist at Daiwa Securities Co in Tokyo. "Although sentiment has been improving lately, it’s not strong enough to push the baht and other regional currencies toward new highs."
The baht strengthened 0.1 per cent to 31.49 per dollar as of 3.26pm in Bangkok, according to data compiled by Bloomberg. The currency touched 31.27 on Aug 6, the strongest level since May 22. Its thee-month implied volatility, a measure of exchange-rate swings used to price options, was little changed at 6.24 per cent.
The yield on the 3.25 per cent bonds due June 2017 dropped one basis point to 3.10 per cent, the lowest level since February, according to data compiled by Bloomberg.
