Halister News

(Bloomberg) -- If economic growth slows in 2Q, it could pressure Thai central bank to ease rates further, pushing the baht down, Bloomberg strategist Andrew Robinson writes.

• Growth probably rose 3.3% y/y after 3.2% expansion in 1Q, Bloomberg survey shows; ests. range from 2.7% to 3.9%; data due 9:30am local time
  • Top forecaster ranked by Bloomberg sees 2.7% y/y growth
  • Consumer confidence fell steadily in 2Q, dropping from 73.5 at end-March to two-year low of 71.6 at end-June
• Govt asked state enterprises to accelerate spending in final three months of fiscal 2016 ending Sept., Deputy PM Somkid Jatusripitak said on Aug. 10
• Central bank last eased policy rate in April 2015, a surprise 25 bp cut to 1.50%; next meeting is Sept. 14; 2 of 11 economists predict a 25 bp cut; rest see no change
• USD/THB steady at 34.781 today; could rise to 50-DMA of 35.074 near term if data disappoint
• NOTE: Andrew Robinson is an FX strategist who writes for Bloomberg. The observations he makes are his own and are not intended as investment advice.