If there is one thing worse than governments ham-fistedly intervening in capital markets, it is governments that do so indecisively. Having announced capital controls aimed at preventing the baht appreciating on Monday night, the Thai authorities watched $21bn, or 15 per cent, being wiped off the stock market before changing their minds.

By Tuesday, the finance minister, until recently central bank governor, appeared to overrule his successor by exempting equities from the restrictions. It is a messy compromise: arbitrageurs will probably bypass the remaining restrictions by selling restricted assets and buying equities, which in theory should now command a liquidity premium. While investors may have short memories, they are not amnesiacs. The damage to perceptions has already been done. The Franklin Templeton Thai Fund, which is quoted in New York, on Tuesday only recovered some of its losses from the previous day.