BANGKOK, Thailand – The Thai baht weakened to its lowest level in nearly 14 and a half months during trading on Friday as a stronger U.S. dollar, falling global gold prices, and escalating tensions in the Middle East weighed on regional currencies. According to Kasikorn Research Center, the baht closed at 33.63 per U.S. dollar on July 17, compared with 33.55 a day earlier. During the session, the currency touched 33.64 per dollar, its weakest level since early 2025. The research center said the baht’s decline tracked losses in other Asian currencies and followed a sharp drop in gold prices, which fell below US$4,000 per ounce, while the U.S. dollar strengthened amid ongoing military exchanges between the United States and Iran that have continued since July 11.
Despite the weaker currency, foreign investors remained net buyers of Thai assets on Friday, purchasing 5.15 billion baht in Thai equities and 649 million baht in bonds. Kasikorn Research expects the baht to trade within a range of 33.30–33.90 per dollar next week. Key factors likely to influence the currency include the European Central Bank’s policy meeting, foreign capital flows, and developments in the Middle East. Markets will also monitor key U.S. economic data, including June new home sales, preliminary July manufacturing and services PMI readings, and weekly jobless claims. Investors will also be watching China’s loan prime rate decision, June inflation figures from the UK and Japan, and preliminary July PMI data from Japan, the UK, and the eurozone.
