BANGKOK, Thailand – On the morning of September 25, the Thai baht briefly strengthened to 32.56 per US dollar, marking its strongest level in 30 months since March 2022, according to a money manager from Krungsri Bank. This surge was primarily driven by China’s significant economic stimulus measures, which pushed the yuan higher and led to a corresponding rise in the baht’s value.
Additionally, a weaker-than-expected U.S. consumer confidence index for September increased market expectations that the U.S. Federal Reserve may lower interest rates by another 0.50% in its November meeting. Furthermore, global gold prices reached a new high, prompting export-related flows, with investors selling dollars and buying baht.
By late morning, the baht had adjusted slightly, trading at 32.65 baht per dollar, up from the market’s opening level of 32.60.
