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Flashermac

Baht Breaks 29-Per-Dollar Barrier

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The baht jumped the most in 10 months, breaching 29 per dollar for the first time since 1997. :cussing:

Demand for the nation's bonds rose amid unprecedented monetary easing in Japan. Stocks dropped to a two-month low.

 

The currency jumped 1 per cent from its April 5 close to 29.02 against the greenback as of 4:51 p.m. in Bangkok after reaching 28.93 earlier, according to data compiled by Bloomberg. That's the biggest advance since June 4.

 

Tuesday's baht gains were "too fast" and the Bank of Thailand is ready to intervene if the currency's moves are not consistent with fundamentals, Governor Prasarn Trairatvorakul said. Capital controls are not being considered, he added.

 

Global funds bought $292 million more Thai government debt than they sold last week, adding to net purchases of $9.6 billion in the first quarter, official data show. That compares with $31 billion for the whole of 2012.

 

"With floods of cash in Japan where rates are so low, investors are seeking higher returns and in this region, Thailand looks good thanks to its stable economy and political situation," said Tsutomu Soma, manager of Rakuten Securities Inc's fixed-income business unit department in Tokyo. "And the weaker yen won't be harmful for Thailand as it doesn't compete with Japan, unlike South Korea or China."

 

The baht has strengthened 5.3 per cent this year versus the greenback, the biggest gain among Asia's 11 most-used currencies, according to data compiled by Bloomberg. It reached 28.93 earlier today, the strongest level since a devaluation in 1997 that sparked the Asian financial crisis.

 

 

http://www.bangkokpo...-dollar-barrier

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Get ready for 25 Baht to the US dollar! You heard it here first!!

 

...and I was pissing that I got only 29.5 put of the ATM a few weeks ago :dunno:

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I have a good landlady and still pay the original rent she started charging us over 15 years ago for a 3 bedroom townhouse style place in town (2500 baht). We've had it ever since and still rent it and use it. Rents have gone up quite a bit recently. 6,000 baht a month to 10,000 baht a month is average for most places these days in Surin. Food, drink, electric, gas, gasoline, just about everything is way up the past few years. We are rebuilding the village house at the moment, raising the roof and changing its configuration, adding concrete fencing, drilling a deeper well, adding a new shop front for future use, etc. Planning ahead for retirement in a couple years, and seeing as the baht may well hit 25 to the dollar, as it was for years before when I first came here, I'm planning for it to be that way again (hell, back then I thought 25 to the dollar was great). Will be able to collect SS and the ex company's retirement money in a couple more years. Will buy one of the over sized tuk tuks in another year or two to tool around in in the village area and to use for cheap transport. :-) A roof to keep the sun and rain off one's head, a windshield and wiper for the rain, and a larger wheelbase, bigger engine, and larger seating area in the back. Will raise the roof as well for the back seating area. Easy to do. A tuk tuk is much cheaper on fuel. Stylin' baby, stylin' village style. 5555555. I refuse to drive a motocyke here. Way too fucking dangerous. A tuk tuk is more stable, has some protection for you as well, better than a motocyke. Have an older diesel pickup that runs like a top. Want to get one of the Nissan March hatchbacks. Very good on gas, plenty of headroom and plenty of room inside, and for a 3 cylinder, they do get up and go for their size. I know a few people who have them and they are all happy with the March. As gasoline keeps going up it is best to get something that will save you money on oil and gas expenses these days. Unless you are rich of course. :-)

 

Those with a baht income will do best in the near future as the exchange rate fluctuates.

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Helps to have both.

 

Yeah, especially if you can leave the western currency in the west making money in property/rentals, stocks and/or bonds or something and not have to use it to live off, and use a baht income to pay your bills, living expenses and such here.

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Yep. Where will it end though is the question. And, will it continue to get stronger as quickly as it has this year so far? Or will it find a level and stick there for a while? I remember when it hit around 38 to 40 to the dollar it stuck in that area for quite a few years. The difference I see is the dollar is collapsing and the baht is not. It figures. 2 years before I can start collecting my Soc Secu and my work pension it's all going to shit with the dollar/baht currency exchange. 555555555 Luckily I have some rental property coming online around the same time (mortgages will be paid off and rental income all mine) that I will derive extra income from to boost the SS and Pension money as well.

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