Baht to remain weak next week

BANGKOK, May 25 (TNA) - The baht is expected to remain weak against the U.S. dollar next week, moving between 29.80 -30.30 against the greenback as traders is expected to monitor a meeting of Bank of Thailand’s Monetary Policy Committee to be held on May 29 whether it would cut its key rate, according to a report issued by Kasikorn Research Centre. Traders are also expected to monitor key U.S. economic data including housing prices for the month of March, consumer confidence index and several others, the report said. The baht weakened to 30.08 against the dollar this week, the lowest in the past four months, following buying of the greenback by foreign investors after a testimony given by U.S. Federal Reserve chairman Ben Bernanke to Congress Wednesday, hinting that the U.S. central bank may wind down its bond-purchasing pace at next few meetings if the economy improves. The baht and other Asian currencies also weakened this week following report that China’s production could shrink in May, the report said. The baht on Thursday closed at 29.90 against the dollar compared to 29.75 baht on Friday last week. Commercial banks in Thailand were closed yesterday on a Buddhist religious day. (TNA)