During Asian deals on Thursday, the Thai baht rose to a 2-day high of 35.3050 against the dollar. If the Thailand currency advances further, it may test resistance around the 35.255 level. The dollar-baht pair was worth 35.4550 at Wednesday's close.
Today, Thailand will provide consumer confidence data for March, with analysts expecting an index score of 66.8, up from 67.2 in the previous month.
To stimulate the contracting economy, the Thailand central bank lowered its key interest rate yesterday.
The monetary policy committee, or MPC, of Bank of Thailand lowered the policy interest rate by 25 basis points to 1.25%. Economists had expected a reduction of 50 basis points. The central bank trimmed the interest rate by a cumulative 2.5 percentage points since December 2008.
The MPC said the severity and duration of the crisis remained highly uncertain, which would affect the Thai economy through a contraction of exports, while private domestic demand remained weak. However, the central bank expects public spending through the government's fiscal stimulus measures to set off the softening in private demand to some extent.
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