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3 hours ago, saengd said:

Thailand is right on the edge of being labelled a currency manipulator because its current account surplus is approaching USD 20 bill., basically that means the value of Thailand exports is far more than its imports. There's no penalty for being included on this list and if they do join they'll be in good company, Malaysia, Vietnam, Singapore and China are also being monitored!

 

So the question is, for all you currency manipulator theorists, are all those countries really manipulating their currencies also, just like Thailand is supposedly doing, is all of SE Asia a currency manipulator?

 

No it has nothing to do with currency manipulation. That list is only something made up by the big home fries country called USA. They must have that so that they can have just another tool to adjust the world economy the way they want other countries to sell and buy products and services. just a pathetic list made up by a country with a big hubris.

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19 minutes ago, Roy Baht said:

Not on the monitor list. Only if you are branded a currency manipulator (as China was).

 

ADDED: Italy, Ireland, Switzerland are on the monitor list and their reputations don't really seem to have suffered from it.

It's easier to beat up or threaten a third world country than it is a Reserve Currency country such as Switzerland, that speaks volumes in itself.

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1 minute ago, henry2109 said:

Labelled a manipulator by whom? The conman in the White House! You do not have to believe what he tells you, it is mostly not correct. He is confused because Thailand has a stronger export industry then the US.

 

The thai baht is strong, and it is for a reason: a) the trade surplus, b) the foreign currency reserves and c) the relativlely low state debt. I do not see a manipulation take place. The currency market is huge, and I would not know to manipulate it. 

 

However, even the thai officials got surprised by the extend of the strength of the baht, and they are making efforts to bring it back a little down, to more "normal" levels, since the export industries and tourism is suffering. This cannot be done just by talking it down, how some posters on this forum seem to believe. Its done by changes in the BOT policy, and also this might only bring small changes and may use time. As long as the thai baht is a freely convertible and as such tradable worldwide, it is the open market which makes the prize of the currency.

Except THB is not freely convertible, export of THB is very restricted and the amount that can be held by foreign banks is limited. That said, the FOREX market and the BOT do agree that the daily fixing rate is the same, otherwise an offshore market with a different rate would arise.

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People need to step back and apply some basic rules of supply and demand, if there is a demand for something, the price goes up.

30 million tourists, anyone who buys a hard drive, anyone who buys a car made in Thailand, all creates a demand for Thai Baht.

 

Its the same principle that applies to bananas, if there is a demand, the price goes up.

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59 minutes ago, Sticky Wicket said:

No, he could put higher tariffs on, like he was going to do a few months ago.

That would mean less sales in the US obviously as people would choose alternatives

And yes I do understand economics!

Thai exports 1-on-1

United States: $27.9 billion (11.2%)

 I guess you are mixing up exports is USD with exports to the US... the latter is a 10% 'impact'

 

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Are all the payments made by farangs  to their"one and only" via western union come into the equation of Thailand's wealth?this is a serious question.

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13 minutes ago, kingdong said:

Are all the payments made by farangs  to their"one and only" via western union come into the equation of Thailand's wealth?this is a serious question.

Good question. But I don't think there's as much of that as there used to be. Of course, there are also educated Thais working abroad sending money home. I'd heard that much of the Philippines's economy relies on overseas remittances, and I'm sure that affects the peso. I just don't think there's as much baht coming in that way to make much of a difference here.

Edited by Roy Baht

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4 hours ago, saengd said:

Can I remind that this is about the potential for currency manipulation and not government, the strength of the Baht is under the control of the independent central bank.

Wrong. The BOT monitors the baht but the Finance Minister ( GOVERNMENT) has control over BOT. Watch the Bloomberg video taken 2 days ago with the THai Finance Minister and learn facts.

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