Mr. Poon Panichphiboon, Money Market Strategist, Capital Market Krung Thai Bank revealed that the baht opened this morning (December 29) at 34.72 baht per dollar, “stable, unchanged” from the previous day’s closing level.baht today It is expected to be at 34.60-34.80 baht per dollar.
fortrend baht look that bahtThere is still a tendency to move to the side, and if the dollar continues to gain support due to the closing of market risk It may put pressure on the baht to fluctuate in the weaker side to some extent. In addition, if the price of gold falls near the resistance zone there may be a flow of transactions to buy gold at a shorter pace and may also put pressure on the baht. But we still see Although the baht may face depreciation pressure
But factors that support an appreciation ofbahtIt still exists, as foreign investors buy Thai stocks. which continues to buy net Thai stocks Causing the baht not to depreciate much or break through the resistance zone we have previously assessed around 34.90-35.00 baht per dollar.
The recent high volatility of the baht reflects the need for more hedging tools. make us recommend Entrepreneurs should use a more diversified exchange rate hedging strategy. Especially the use of options, which will increase the efficiency of hedges during the period of heavy market volatility.
for a coastal atmospherefinancial marketThe US as a whole remains in a risk-free state. Amid concerns about the US economic outlook Slow down hard and risk entering a recession. If the Fed continues to raise interest rates some market players are concerned about China’s full opening next year It may cause inflationary problems not to be easily resolved and may put pressure on the Fed to continue raising interest rates . The above concerns were reflected through The rise in US 10-year bond yields to 3.88% has made technology and growth stocks sensitive to rising bond yields / interest rates. Continued declines, such as Apple -3.1%, Alphabet -1.6%, Microsoft -1.0%, pressured Nasdaq tech stocks down -1.35%, while the S&P500 closed -1.20.
As for European stocks, the STOXX600 index declined -0.13%, under pressure from selling pressure on technology stocks and growth stocks from a long-term rise in bond yields. as in the United States (ASML -1.7%, Adyen -0.8%) In addition, market players are waiting to assess the impact of the opening of China early next year. which will have a positive or negative impact on the European economic picture more Due to the recent situation of the outbreak of COVID-19 in China, it is still worrying.
in the currency market The dollar was slightly stronger against the major currencies. This was supported by an increase in US 10-year bond yields and financial market hedging. Recently, the dollar index (DXY) rose near 104.5 points. But the rise of the dollar and the yield of the 10-year bond of the United States put pressure on the price of gold (COMEX gold contract for delivery in February) to remain volatile near $ 1,812 per ounce. with some moments when the price of gold fell near the support zone around 1,800 dollars per ounce Some market players may wait for the gold wing to gradually buy and such a flow of transactions may put pressure on the baht to weaken somewhat.
For today, players in the market are waiting to win. US labor market data such as Initial Jobless Claims, including Continuous Claims Initial unemployment is below the level of 220,00 or the number of continuous unemployment claims is below 1.67 million. Market players can assess that picture of the US labor market that is still going strong may encourage the Fed to continue raising interest rates. and they can reach a level higher than 5.00% which the market is currently looking at. This picture can put pressure on the atmosphere in the financial market to be more vigilant or to be more careful.
