BANGKOK, Thailand – Gold prices have been highly volatile on Wednesday, fluctuating 37 times throughout the day, before closing with a drop of 1,750 baht. Consumers, concerned about the price fluctuations, have been rushing to sell their gold. The Department of Internal Trade has also stepped in, inspecting gold shop scales following the drastic price changes.
The Gold Traders Association reported that gold prices fluctuated 37 times from 09:07 AM to 04:57 PM. The price of 96.5% pure gold bars was bought at 52,600 baht and sold at 52,700 baht per baht, while 96.5% pure gold jewelry was bought at 51,650.12 baht and sold at 53,500 baht. The significant drop follows a rapid increase in the international gold price, which surged from 3,000 USD per ounce to 3,500 USD per ounce in just 39 days, giving investors a 30% return before selling to lock in profits. Additionally, the easing of trade war fears between the U.S. and China contributed to the market’s volatility.
A visit to gold shops in Yaowarat, Bangkok, found that most customers were bringing gold to sell rather than buying. While some people were purchasing, it was less common than usual. Many expressed concern over the sharp fluctuations in the price of gold and the potential for further volatility in the coming days.
Witthayakorn Maneetee, Director-General of the Department of Internal Trade, stated that in response to the extreme volatility, the department is focusing on ensuring proper price signage and scale accuracy at gold shops. Accurate weighing is critical, especially during price surges, as even a slight deviation in weight can lead to significant discrepancies. All approved scales will have a certification sticker from the department to ensure fairness.
As global markets shift with trade negotiations and gold’s role as a safe-haven asset, local gold markets in Thailand continue to experience significant fluctuations. While some consumers take advantage of high prices, others are anxious about the future, contributing to a more cautious approach in the marketplace.
