Learn How The Thai Baht Outperformed the US Dollar

The Thai baht experienced an upturn against a weakening US dollar, with investors predicting the US Federal Reserve to hold its policy rate steady in the upcoming meeting this week. The baht yesterday, January 30, initiated at 35.38 to the dollar, a rise from Monday’s close at 35.58. The local currency fluctuated between 35.28 and 35.45 against the dollar and concluded Tuesday at 35.35.

Roong Sanguanruang, a senior executive at Krungsri, attributed the baht’s surge to the anticipated monetary policy direction of the Federal Reserve, which led to a decline in the dollar’s strength. Recent US economic data showed better-than-expected growth, low unemployment, wage increases, and a drop in inflation, boosting investors’ confidence in a March Fed rate cut, said Roong.

“The baht opened at 35.38 to the dollar, the strongest level in two weeks, after…