Ouch - US dollar under 40 baht

[OCgringo]

last week I was getting just under 40 baht when I exchanged US$ at the excange office but the official rate was just over 40 baht/US$

 

now the official rate is below 40 baht , a pretty big change in a week or so.

 

pretty soon the girls are going to not want us , and only go after those rich Euros and Brits

[dddave]

 

You might not have gotten the news in Thailand, but last week, Alan Greenspan, head of the Federal Reserve Bank, made a speech wherein he made dire predictions regarding the increasing trade deficit and the perils of the strong Dollar; this coupled with a rise in the prime rate the same week has led to a sharp fall of the Dollar against almost all currencies, and prevailing opinion is that it will continue to fall. Don't be surprised if you see B35/$1.00 within the year. Plan accordingly!!!

 

Here is an amazing stat.; if WALMART was a nation, it would be China's 4th largest trading partner. The U.S. is importing $10.00 worth of goods for every $1.00 it exports.

 

I was going to do the B800,000 retirement visa deposit this year, but that 2 Baht to the Dollar drop will cost me B40,000. As of now, I'm reconsidering my plans.

 

David

[OCgringo]

I changed $6000 US last August and got over 41 baht, so I know the hit you will take,

compared to todays rate.

 

I do have some income in Euros so it evens out some ,

 

it would be hard for me to trust a Thai bank with $20,000 UD$

is it posible to deposit in a US branch office of a Thai bank ?

That way it would be insured by FDIC

 

OC

[Flashermac]

About 7 years ago, I changed US$2,000 at 40 baht. I had another US$1,000 in cash, but figured I'd hang on to it in case the dollar went up. Instead, it promptly dropped to 37! One week's delay meant 3,000 baht out of my pocket. :-(

[dean]

If its of any consolation to you, I doubt if the dollar will fall against the baht like its falling against the euro or sterling. China props up the dollar against its currency in order to keep selling the volume of goods to the U.S., so every other asian country (with the exception of Japan) tries to keep its currency within accepable levels against the dollar. Now, if the Japanese start selling off U.S. treasury notes, that would signal a massive sell-off of the dollar in Asia. Gold, however, is now above $450 an ounce, for the first time in 16 years. It certainly will make those trips to Chinatown for BG presents more expensive.

[Lusty]

CORRECT!US British are "more hansum"than the Yanks at the moment

It won't be long before the girls have a pro-rata l/t-s/t fee

[OCgringo]

yes I know , your baht is so much more purple

[dddave]

 

Dean,

 

My impression was that the Baht tended to follow the Yen, is that not true?

What do you think will happen if China succumbs to US pressure and revalues its' currency?

 

David

[think_too_mut]

dddave said:

 

Dean,

 

My impression was that the Baht tended to follow the Yen, is that not true?

What do you think will happen if China succumbs to US pressure and revalues its' currency?

 

David

 

The first time (January 2002) I sent the money to my gf, 1000A$ were 22K baht. Now, it is almost 30K baht.

Back then, US$ was 44-45B.

 

The source is in Yen now.

 

Just that 8K baht difference, it's a good salary for some in Thailand.

[dean]

Dave, thats probably true but so far the Japanese have proped up the dollar by buying treasury notes, much more than Europeans, so you have the dollar falling much more rapidly against European currencies than Asian currencies. China is ground zero for cheap labor manufacturing. They export ten times what they import from the U.S. We are fueling their economic boom and I doubt whether they would allow their currency to rise against the dollar and see some southeast Asian country take advantage of that situation and increase their market share to the U.S.