The baht fell for a third day as slowing economic growth in China worsened Thailand's export outlook. Ten-year government bonds declined.
The International Monetary Fund (IMF) said this week there is an increasing risk that China's expansion this year will fall short of the fund's 7.75% forecast. Asia's largest economy is Thailand’s biggest market, buying almost 12% of shipments in the first five months of this year, official data show. Inflows into Thai stocks and bonds limited the baht's decline.
"Asian countries' dependence on China has been increasing and uncertainty surrounding China's growth is raising concern," said Tohru Nishihama, an economist covering emerging markets at Dai-ichi Life Research Institute Inc in Tokyo. "Thailand doesn't have many upbeat factors either."
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