Thailand's three-year government bonds advanced and the baht retreated from near a five-month high before data that economists predict will show declining overseas sales.
Exports fell 5.9% in August, the biggest slide this year, after a drop of 4.5% in July, according to the median estimate of analysts in a Bloomberg survey before a government report due Sept 24 or Sept 25. International investors pumped US$658 million into sovereign notes this week through yesterday, according to data from the Thai Bond Market Association. Three-year debt from the Southeast Asian nation yielded 2.87 percentage points more than Treasuries.
"Exports are a concern amid weak global demand," said Tsutomu Soma, manager of the investment trust and fixed-income business unit at Rakuten Securities Inc in Tokyo. "Bonds in Asia will probably receive a lot of funds due to their relative safety and higher yields."
This article is older than 60 days, which we reserve for our premium members only.You can subscribe to our premium member subscription, here.