TFEX sets new record on gold volality
Thailand Futures Exchange in August set a new record, when 74,816 gold futures contracts were transacted on daily average thanks to the volality in gold prices.
The number of contracts jumped 70.75 per cent from the previous month.
August also marked the first time that over 100,000 futures contracts were transacted a day. The new record was set on August 25 when the number hit 122,572 contracts, including 92,475 gold futures contracts.
In the month, average daily turnover for Bt50 gold futures and Bt10 gold futures rose 133.45 per cent and 118.37 per cent, from the previous month.
Gold prices were at the greatest-ever volatility in August. At one point, the Gold Traders Association had to revise the domestic price 22 times in a single day.
Gold remains volatile today, though at a lesser degree. Domestic prices were adjusted 7 times, for the aggregate increase of four times worth Bt200 and aggregate decrease of 3 times worth Bt250 per baht weight. As of 4.25pm, gold bar was sold at Bt26,400 when spot gold cost US$1,845 per ounce.
The Stock Exchange of Thailand's daily average turnover also stayed as high as Bt37.4 billion in August, though concerns over global recession pulled down the SET Index by 5.60 per cent from the previous month.
In the first eight months of this year, the index gained 3.61 per cent from end-2010 level, the second highest increase in the region after Indonesia. Daily turnover in the period stood at Bt32.2 billion, up 31.26 per cent from the 2010 daily average.
Compared to July, the market capitalisation of both SET and its second-tier bourse, Market for Alternative Investment, declined 5.54 per cent to Bt8.76 trillion and 7.42 per cent to Bt79 billion, respectively.
