Thailand is the only Asian economy with net outflows in both bonds and equities on a YTD basis.



"The Central Bank of Thailand is forecast to hold its key rate unchanged at 1.50%", says Societe Generale.



The yield spread between 10y Thai and Australia govies is just 3bp, in other words, with the RBA turning less dovish (AUD positive) some Asian economies with funding deficits have to be mindful of not spooking foreign bond investors any further.



Thailand has a current account surplus of close to 4% of GDP and FX reserves of around $152bn, so the THB should be relatively safe.



The FTSE/Athens Banks index traded close to limit down of 30% for a second day running yesterday despite indications that bank deposits have increased by an estimated €1.0bn since banks reopened on 20 July.