USD/THB faces additional consolidation in the near term

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Quek Ser Leang, market strategist at UOB Group, sees USD/THB trading in the 34.00-35.00 range in the near term.

We pointed out last Monday that USD/THB could consolidate for a few days before falling to 34.42. We did not expect such volatility, with USD/THB hitting a low of 33.75 before recovering quickly. The sharp drop seems overdone and we do not expect USD/THB to weaken. USD/THB is more likely to trade in the 34.00 to 35.00 range this week.