Thai baht rises to four-year high, interest rate decision to be announced soon.

The Thai baht exchange rate has risen to its highest level in over four years, putting immense pressure on the Bank of Thailand to curb this upward trend before its policy decision this week. Thai banks tightened foreign exchange forward trading for gold traders on Monday, as the currency rate rose slightly to 31.523 baht per US dollar, maintaining its highest level since June 2021. The baht has appreciated by over 8% this year, becoming the second best-performing currency in Asia against the backdrop of record gold prices and a weakening US dollar. The continued strengthening of the currency has put pressure on the Bank of Thailand to signal further easing at its meeting on Wednesday, as the country's exporters face increased pressure from new US tariffs. Despite officials managing to weaken the impact of gold on the baht, the current peak tourist season has brought new momentum for the currency.