Poon said the risk-averse market coupled with the Covid-19 situation in China could add more downward pressure on the baht. The Thai currency has weakened past the expected resistance level, with both exporters and importers unsure of when to carry out transactions, so it might be volatile and weaken to test the new resistance level of 34.40, he said. Meanwhile, gold purchases are rising as investors want to possess safe assets. This is adding pressure to the baht. Poon advised businesses to use hedging tools such as options to manage risks in the present highly volatile currency market.

Source: The Nation Bangkok April 27, 2022 03:10 UTC