Fed Minutes Signal Rate Hikes Remain Possible as Inflation Risks Persist 
Asian Chip Stocks Plunge as Bond Yields Fuel AI Valuation Fears 
Trump Eyes 15% Tariff on Canadian Auto Imports in New Trade Deal 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
BOJ Minutes Signal More Rate Hikes as Inflation Risks Grow 
Switzerland Industrial Production Jumps 5.5% in Q2 2026 
Trump Pauses 50% Canada Tariffs for Three Days as U.S. Trade Deal Takes Shape 
Add as a preferred source on Google
The Bank of Thailand (BoT) is expected to remain on hold through 2017. As widely expected, the central bank left rates unchanged at 1.5 percent for the 13th straight meeting Wednesday. The economy faces increasing downside risks to its growth and inflation outlook.
The global backdrop is highly uncertain, tourism has softened since the passing of the late King and a crackdown on under-priced tour packages from China and investor sentiment remains weak amid uncertainties surrounding the timeline for a return to civilian rule.
However, Thailand is by no means in a dire position with 2017 GDP still seen at a respectable 3.2 percent, the same pace as this year and 2017 inflation seen returning to its target 1–4 percent band from 0.2 percent this year.
As such, the BoT is in no urgent need to cut rates, and the onus remains on ongoing fiscal spending to support growth.
"Our base case is for BoT to maintain status quo throughout 2017. However, we do not necessarily rule out a 25bps cut in the event of adverse shocks," Commerzbank commented in its latest research report.
