Bangkok: Gold prices in Thailand surged to 1,900 baht per baht weight, marking a significant increase in the local market. According to Thai News Agency, the Gold Traders Association announced a sharp opening price adjustment this morning, with gold bars selling at 67,150 baht per baht and gold jewelry at 67,950 baht per baht. This rapid rise in prices has created a noticeable buzz nationwide, with fluctuations continuing until 10:18 AM. The tenth adjustment of the day showed a 1,550 baht increase from the previous day, with gold bars selling at 66,800 baht and gold jewelry at 67,600 baht.
Kasikorn Research Center reported that the Thai baht reached its strongest level in six weeks, touching 33.05 baht per US dollar before adjusting to 33.07-33.09 baht per dollar. This was in comparison to the previous day's closing level of 33.21 baht per dollar. The Thai baht's strength aligned with the global surge in gold prices, which approached $4,300 per ounce amid hopes for a favorable outcome in US-Iran negotiations on reopening the Strait of Hormuz. Furthermore, the US dollar faced pressure from the continued decline in short-term US bond yields following weaker-than-expected US economic data for July.
The situation in the Middle East remains critical, influencing global gold price movements. The past three trading days have seen a steady rise in gold prices, buoyed by positive signals from the region. For today's trading range, the initial estimate is set between 33.00-33.15 baht per US dollar, with key factors such as foreign fund flows, the Japanese yen's direction, Middle East issues, and US jobless claims figures being closely monitored.
Gold spot prices have increased for the fourth consecutive day, reaching a seven-week high of $4,304.15 per ounce. Reports of potential diplomatic progress in the Middle East have raised hopes for resolving global energy supply disruptions, thereby easing inflationary concerns. A proposed agreement between Iran and Oman to conclude the five-month-long conflict with the United States could allow Iran control over Gulf-bound ships via the Strait of Hormuz. This development has led investors to anticipate a decrease in energy supply risks, reducing oil prices. Meanwhile, 10-year US Treasury yields fell and the US dollar index weakened, making gold more attractive for investors dealing in other currencies.