Vietnam inflation rises, Thai baht falls

Inflation in Vietnam reached its highest rate since 2013 in January, but we doubt the central bank will respond by raising interest rates. Meanwhile, the Thai baht has dropped 4.5% against the US dollar since the start of the year, making it the worst performing currency in the region. A key factor behind the decline has been the spread of the coronavirus, which has raised expectations of an early rate cut by the central bank.