Tuesday, July 15, 2008

Bangkok gold price hits all-time high

Gold prices in Bangkok have surged to a record high upon concerns over renewed Middle East tensions and the weakening of the US dollar, according to an industry executive.

On Monday afternoon gold ornaments traded at 14,935.60 baht for selling, 15,650 baht buying for one-baht gold weight. Gold bar prices were 15,150 baht and 15,250 baht respectively.

Gold Trading Association president Jitti Tangsitthipakdee said the price of gold ornaments soared to a new high of 15,600 baht per one baht weight of gold when an undetermined number of investors moved their investments to the gold market in response to concerns over the confrontation between Iran and Israel.

The investors were also worried about the declining US dollar and economic troubles in the United States.

In addition, he said, the baht's weakening had fueled the value of gold in Bangkok, although the price of gold abroad stayed unchanged at around $960 per ounce.

Mr Jitti said the local price of gold ornaments is likely to continue to rise and pass 16,000 baht per one baht weight of gold this year if the baht continues to weaken. (TNA)

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