Yaowarat gold trade stays brisk as war jitters fuel volatility and profit-taking

Gold trading in Yaowarat stayed busy for a second day as Middle East war jitters kept prices high and volatile — triggering heavy profit-taking, with more buyers than sellers on Tuesday (March 3) after a sharp weekend surge.

Dealers in Bangkok’s gold-trading district said the elevated price level and rapid intraday swings have drawn both retail buyers and investors looking to buy, sell and capture gains as the Middle East conflict continues to unsettle markets.

Weekend surge, then a pullback at Tuesday’s open

Gold prices jumped sharply over the weekend, lifting both jewellery gold and gold bars and prompting a rush of customers to monitor prices and trade for profit. On March 2, the market saw 42 price adjustments, with a combined rise of 2,650 baht. On Saturday, prices rose 1,450 baht. Over two days, gold climbed by more than 4,000 baht.

However, at the market open on Tuesday morning (March 3), prices eased, falling by 600 baht, with gold selling at 79,450 baht.

Gold Traders Association: conflict will drive the next move

Jitti Tangsithpakdee, president of the Gold Traders Association, said markets must keep a close watch on how far the Middle East war spreads and how long it lasts. If tensions intensify, he said, gold prices could rise again.

He warned that the market is seeing sharp up-and-down swings, and that prolonged conflict could keep volatility elevated. If the situation eases for a period, he said, prices may return towards more normal conditions.

Jitti compared the situation to the Russia–Ukraine war, which has stretched for several years, saying gold’s initial surge later faded into a period of more limited movement. The current jump, he said, is being driven by war conditions — but over the long term, he still views gold as being in an upward trend once markets normalise.

New highs possible after January record

Jitti noted that the current rally has not yet matched the previous record peak on January 29, 2026, when gold reached more than 81,900 baht per baht-weight. Even so, he said another new high may not be far away.

He urged those who bought near the peak not to panic, noting gold has risen around 20% since January 29 — a move he described as unusually strong. For context, he cited annual gains of 29% in 2024, 60% in 2025, and 20% so far in 2026.

He also said rapid gains tend to encourage profit-taking, making gold more suitable for long-term investors with spare cash, while short-term traders should be cautious.

For this year, Jitti said gold could potentially reach 90,000 baht per baht-weight, though he said it was too early to project 100,000. He added that only a global conflict on the scale of a third world war might push gold that high — something he said he neither expects nor wants to see.

Warning on unreliable sellers and online scams

Addressing complaints that some shops refuse to buy gold when prices rise — or apply spreads as wide as 2,000 baht — Jitti said investors should deal only with reputable shops, as gold is a high-value asset and buyers should ensure they can trade reliably.

He also cautioned against scams on online platforms, urging the public to study information carefully before trading.

On buybacks, he said shops cannot refuse to buy gold if they are open, except for gold bars on weekends, when global markets are closed and there is no reference price.

Jitti said Thailand is unusual in setting weekend prices to serve customers, but that practice carries heightened risk. Over the weekend, he said, the association had no global reference price and could not adjust prices beyond what was reasonable, leaving it to issue warnings instead.

He said those who choose to trade gold bars on weekends must accept the risk themselves, and warned that both buying and selling during periods without global reference trading can be dangerous.

Investors rush to lock in gains as queues form

Interviews with customers in Yaowarat reflected the mixed mood of profit-taking and cautious buying. One investor said they sold 15 baht-weight of gold. They attempted to sell on March 2, but turned back because the queue was about 100 people.

Returning on March 3, they said prices were down by around 600 baht per baht-weight to about 79,600 baht, but they were still booking a profit.

“That’s enough for me,” the investor said, adding they did not expect prices to move much higher and believed negotiations could follow. They said if gold prices fall further, they would consider buying again.

The investor also said that while they were selling, other customers attempted to buy directly from them, but they could not do so.

Another seller said the sharp weekend rise was surprising and prompted them to sell quickly to secure gains, adding they felt comfortable trading in Yaowarat because most shops in the area are established and meet accepted standards. However, they said they still considered the market risky and were not ready to buy and hold large amounts.

They also said they avoid online trading because platforms and apps often crash during sharp moves — making it difficult to buy when prices fall or sell when prices spike.

As the Middle East conflict remains unresolved, market participants said attention is now on whether tensions intensify — a key factor that could keep gold prices volatile and Yaowarat trading activity elevated in the days ahead.