Thailand’s gold prices have jumped 4% in three weeks, spurred by a 2% increase in the global gold price and the baht’s depreciation. The number of people buy gold over covid fears has also sparked the rise in gold prices.
The local gold bullion price with a purity of 96.5% hiked to 28,016 baht per one-baht weight on Wednesday. The price reached its highest in the last two months in May, while its low point was in June at 26,287 baht.
“The domestic gold price has made unusual movements the past 10 days. The price normally declines when the US dollar appreciates. However, the decline of US bond yields, from 1.5% to 1.3%, has caused the gold price to rebound as institutional investors and central banks are collecting gold,” said Kritcharat Hirunyasiri, chief executive and founder of MTS Group.
He said institutional investors’ purchases of gold may reflect the…
