Thailand rate cut unlikely despite disappointing exports: OCBC

Central bank will need even worse exports results before trimming rates.

"Export growth came in at a disappointing -6.95% yoy in August, below our expectations for a -2.9% reading. Shipments to the EU slumped by 23.1% yoy while those to ASEAN also fell 12.3% yoy in the month. The trade balance registered another deficit of USD 1bn, smaller than the USD 1.7bn deficit seen in July," said OCBC in its latest Economic and Financial Indicators highlights report.

"The BOT is unlikely to trim its policy rate anytime soon at this juncture, unless we see a couple of more disappointing export growth figures. As it is, even a 5% yoy GDP growth this year (our forecast remains at 5.5%) would be decent enough for the central bank," it added