Thailand's baht was poised for its biggest weekly rally in four months as international investors increased holdings of the country's assets amid optimism the global recovery is gathering pace. Government bonds were steady.
The currency reached a 10-month high on Friday after funds bought US$174 million more local shares than they sold this month through yesterday and pumped a net $1.4 billion into sovereign debt, data from the stock exchange and the Thai Bond Market Association showed. Export growth in China, Thailand’s largest overseas market, quickened to 14% in December from 2.9% the previous month, official data showed on Thursday.
"Stocks have been rising and economic data are quite solid, and so funds are flowing to the riskier assets," said Kozo Hasegawa, a foreign-exchange trader in Bangkok at Sumitomo Mitsui Banking Corp. "That supports Asian currencies and such a trend may remain for now."
Keep up-to-date with the latest on coup d'etat with Bangkok Post SMS News. Call *451391000 to subscribe – 39 baht/month (7 days free, available in Thailand only) Bangkok Post SMS News: Deliver only trustworthy news on SMS
This article is older than 60 days, which we reserve for our premium members only.You can subscribe to our premium member subscription, here.