Thailand’s Gold Research Centre advises caution
The Gold Research Centre says there are four factors to watch, which may influence the price of gold in Thailand this week, as most investors are predicting that the metal’s price will continue to rise.
First are the US Federal Reserve meetings tomorrow and Wednesday, after the Federal Reserve chair Jerome Powell signalled that the interest rate may be increased by a quarter point to arrest inflation in the US after reaching the highest in 40 years last month.
Second are the peace talks between Russia and Ukraine, which have shown no sign of progress.
Third is the new wave of the BA.2.2 strain of Omicron COVID-19 infections in Hong Kong, which has driven the death toll up to an average of 30 in every million of the population for the past seven days.
Fourth are key economic indicators in the US, including the production price index, industrial sector production and the sale of used housing units for the month of February, in accordance with Fed’s survey conducted in New York and Philadelphia.
The research centre also disclosed the results of its opinion survey of the trend in gold prices from March 14th to 18th. The questionnaire based survey results are based on responses from 14 gold market experts and 378 gold investors.
29% of the expert group predicted that gold prices will increase this week, 21%, believe prices will fall and 50% expect the prices will remain close to last week’s level.
59% of the investor respondents expect prices to continue to rise this week, while 29%, believe prices will fall and the remaining 12% expect prices to remain unchanged from last week.
According to the Gold Traders’ Association, the price of gold bullion fluctuated last week between 30,600-32,100 baht per one baht weight (15.16 – 15.24 grams), closing at 31,250 baht per one baht weight at the end of the week, representing a 1,000 baht increase from a week earlier.