Thai gold opens THB1,150 lower as global prices slide
Thai gold prices fell sharply on June 11 as bullion dropped to THB63,900, pressured by a steep fall in global spot and Comex gold
Thai gold prices fell sharply at the market open on Thursday, with bullion dropping by 1,150 baht per baht-weight as global gold prices came under renewed pressure.
The Gold Traders Association announced its first price adjustment of the day at 9.02am on June 11, cutting domestic gold prices in one move after a volatile session on Wednesday.
The latest adjustment brought the selling price of gold bullion to 63,900 baht per baht-weight, down from the previous day’s final level of 65,050 baht.
Wednesday had already seen heavy movement in the domestic market, with 40 price announcements during the day. By the final announcement, gold prices had fallen by a total of 2,350 baht to 65,050 baht per baht-weight.
For domestic gold of 96.5% purity, the first announced prices on Thursday were as follows: gold ornaments were sold at 64,700 baht per baht-weight, with a tax base of 62,428.88 baht. Gold bullion was sold at 63,900 baht and bought at 63,700 baht per baht-weight.
By comparison, the final announcement on Wednesday set gold ornaments at 65,850 baht per baht-weight, with a tax base of 63,550.72 baht. Gold bullion was sold at 65,050 baht and bought at 64,850 baht.
The sharp domestic decline followed further weakness in international gold markets. Spot gold fell by more than US$100 on Thursday morning, slipping below US$4,100 per ounce to around US$4,098 per ounce.
US Comex gold also closed sharply lower overnight, falling US$153.10 to around US$4,133.30 per ounce.
The pressure came as investors assessed the risk that a prolonged conflict between the United States and Iran could push oil prices higher, fuel inflation and increase pressure on the US Federal Reserve to raise interest rates this year.
Gold prices in Hong Kong also moved lower at the open on Thursday, dropping by HK$950 to around HK$38,010.
