Picture courtesy of Bangkok Post
Analysts predict the Bank of Thailand will maintain its policy rate during its meeting tomorrow, citing a recovering domestic economy and potential changes in US Federal Reserve interest rate cuts if inflation revives.
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Analysts predict the Bank of Thailand will maintain its policy rate during its meeting tomorrow, citing a recovering domestic economy and potential changes in US Federal Reserve interest rate cuts if inflation revives.
Chaiyot Jiwangkul, head of research at Krungsri Securities (KSS), attributed the economic rebound to increasing tourist arrivals, government budget disbursements, and a 10,000-baht (US$300) cash handout to vulnerable groups.
Recent US inflation data has intensified discussions on whether the Federal Reserve will opt for a smaller rate cut next month or pause after a significant 50 basis points reduction in September, Chaiyot said. According to the US Bureau of Labor Statistics, the consumer price index rose by 2.4% year-on-year in September, surpassing the forecast of 2.3%.
“We believe the Bank of Thailand’s Monetary Policy…