Descending gold prices causing buying frenzy

BANGKOK, 27 January 2010 (NNT) – Throngs of speculators have flocked to purchase gold as prices continue to descend despite worldwide shortages causing deliveries to be delayed by 3-4 days.

President of the Gold Traders Association, Jitti Tangsitthibhakdi, explained today that the week’s drop in gold prices was a consequence of the latest loan measures instituted by the Chinese government on commercial banks. The implementation caused a massive asset sell off and eventually, a harsh decline in gold prices.

Many major buyers have sought to purchase large amounts of the precious metal over the past week with some orders having to wait between 5-7 days.

Today’s bullion price has settled at 17,200 THB per baht weight for purchase and sold at 17,300 THB per baht weight while gold ornaments are being bought at 16,948 THB and sold at 17,700 THB.