BANGKOK, Thailand – Jitti Tangsithpakdi, President of the Gold Traders Association, said gold prices remain on an upward trend, noting that on the morning of Sept 16, prices jumped by 400 baht, pushing gold bars to 55,300 baht for selling and 55,200 baht for buying. Gold ornaments were sold at 56,100 baht and bought at 54,090 baht. The surge is linked to market expectations that the U.S. Federal Reserve will cut interest rates in its upcoming meeting.
He acknowledged that some short-term profit-taking may occur since prices have risen by 3,000 baht since Sept 1, but in the long term, multiple factors continue to support further gains.
Jitti also addressed discussions with the Bank of Thailand (BoT) following the baht’s appreciation to its strongest level in four years, outpacing regional currencies. The BoT has requested more detailed reporting from major gold traders, which the industry has agreed to cooperate with. He confirmed that gold exports to Cambodia, a long-standing market, remain transparent, processed through banks with proper documentation, and are not linked to “grey money.” The current spotlight on exports is due to Thai-Cambodian border issues, not irregular trading.
On rumors that the government may impose taxes on gold trading, Jitti warned this would severely hurt Thailand’s position as a regional gold hub. He stressed that developed markets long ago abolished such taxes, while reintroducing them would drag Thailand backward and harm competitiveness even more than Cambodia. He believes the matter is only under study and unlikely to move forward. (TNA)
