Gold price expected to fall below 20,000 THB/baht weight

BANGKOK, 22 February 2010 (NNT) – The domestic gold price will not exceed 20,000 THB per one-baht weight of gold in 2010, according to Gold Traders Association President, Jitti Tangsitthibhakdi.

Speaking about gold price volatility, Mr Jitti admitted that the price in both national and global markets would constantly swing up and down this year. He then cautioned investors to be careful when investing in the gold market.

On the overall picture, the president viewed that the gold price movements would be beneficial to both investors and gold sellers since the price was expected to be below 20,000 THB per one-baht weight of gold (15.2g) but not lower than 14,000 THB per one-baht weight of gold.

Mr Jitti hence said gold would still be attractive for investment from the first to third quarters of 2010.

The president added that other factors influencing the gold price included the US dollar and the US economy. He explained that if the dollar and the US interest rate increased, gold would be cheaper.