Gaybutton Posted July 11, 2007 Posted July 11, 2007 The exchange rate for the baht against the US Dollar is continuing its surge and has hit new records. The Bank of Thailand says this should ease during the second half of the year, but they do not expect it to reach 36 to 37 to the dollar, as the exporters want. The exchange rates as of Wednesday, July 11 at 10:55 AM are: US Dollar: 33.03 Euro: 45.255 British Pound: 66.75 Australian Dollar: 28.235 Canadian Dollar: 31.125 Don't be surprised if the baht to US dollar exchange rate gets into the 32s before the end of the week, perhaps by the end of the day! Some experts are saying the exchange rate will get into the 30s before this stops. _____ BoT Chief Sees Baht Rise Easing in 2nd Half BANGKOK, July 11 (TNA) Bank of Thailand governor Tarisa Watanagase on Tuesday voiced confidence that the current sharp baht appreciation would ease in the second half of this year since there are signs of a trade surplus decline and growth of imports. Mrs. Tarisa conceded the baht had appreciated by 7-10 per cent last week partly because exporters were worried about its rise and dumped the US dollar to reduce risks from currency losses. Should the situation persist, the baht would strengthen even further and additional foreign capital would flow into Thailand's stock market. However, the central bank chief said she believed the sharp baht rise would ease in the second half of the year because exports tend to grow at a slower pace than that of the same period last year. At the same time, imports appeared to increase since April and oil prices are expected to increase further. Given these factors, the country's trade balance would be in less surplus, which could ease the baht's appreciation. Mrs. Tarisa said the central bank saw a need for exporters to adjust themselves to the situation because the baht had strengthened in the same direction with other currencies in the region. The BoT chief viewed the exporters should take this opportunity to purchase machinery to improve their production capacity. Under the current circumstances, she admitted, it is unlikely that Thailand will see the baht move in a range of 36-37 to the dollar as desired by the exporters. The BoT chief said the central bank has already been supervising the baht to ensure it is not overly volatile. She added the baht had appreciated for the moment because foreign capital had flowed into the region's stock markets, including the Stock Exchange of Thailand. (TNA)-E005 Quote
