Bangkok:The Thai baht appreciated this morning, breaking through the 33.70 level against the US dollar, driven by a weaker dollar following a decline in US bond yields.

According to Thai News Agency, the baht was trading at approximately 33.70-33.72 baht per US dollar this morning, showing an improvement from the previous day's closing level of 33.76 baht per US dollar. The strengthening of the baht is attributed to the weakening US dollar, which followed a decline in US Treasury yields for both 2-year and 10-year maturities.

The US dollar faced additional selling pressure, particularly against the euro, after the European Central Bank indicated plans to raise interest rates at its December meeting. Despite this, the baht's volatility remains a point of concern due to persistent high global crude oil prices, with Brent crude staying above $115 per barrel. Additionally, the gold market saw selling pressure, leading the spot price to drop below $4,000 per ounce this morning.

The trading range for the Thai baht today is anticipated to be between 33.60 and 33.80 baht per US dollar. Key elements influencing this include the results of the Bank of Japan's meeting, Thailand's September economic report, the ongoing situation in the Middle East, and the Eurozone's third-quarter GDP figures.