The baht reversed early gains to trade flat on Wednesday afternoon, with traders saying the Bank of Thailand (BoT) appeared to have intervened to limit the currency’s appreciation, which it has repeatedly said is negative for the economy.
The baht firmed by up to 0.2% at 29.990 in early trade, slipping below the 30.0 per dollar mark that Thai exporters on Tuesday urged the central bank to preserve to maintain competitiveness.
It retreated in afternoon trade to stand marginally weaker at 30.060 per dollar, with traders at two local banks saying the central bank had stepped in to sell dollars.
The BoT did not immediately respond to a Reuters request for comment.
“There might be some action from the Bank of Thailand to keep the baht at the 30.0 per dollar level,” Poon Panichpibool, markets strategist at Krung Thai Bank said.
The Thai economy, with its large…
