Thai cbank intervenes to support baht
Tuesday, July 08, 2008
SINGAPORE: The Bank of Thailand sold dollars in the currency market on Monday to support the baht near the key 33.60-per-dollar level, traders said.
“I think the Bank of Thailand tried to protect the baht at 33.60,” a trader in Bangkok said.
A second baht trader described the intervention, which has almost become a daily routine in recent weeks, as ‘soft’.
The Thai baht still slipped to a seven-month low at 33.63 as investors dumped local stocks amid concerns about domestic political uncertainty.
Thai stocks shed 1.6 percent on Monday as a Thai court is due to rule in the case against People Power Party deputy leader Yongyut Tiyapairat on Tuesday. If found guilty of vote buying in 2007 election, the case could eventually lead to the dissolution of the main party in the coalition.
dailytimes.com.pk