Gold prices drop in Thailand, people rush to buy

BANGKOK, March 1 (TNA) - Gold prices on the domestic market dropped by as much as 750 baht per baht weight Thursday, prompting people and investors to line up in long queues in front of gold shops in Bangkok’s Yaowarat or Chinatown area to purchase the cheaper gold ornaments and gold bars. President of Thailand's Gold Traders Association Jitti Tangsitpakdi said that the surging demand for gold ornaments and gold bars was in response to the plung of the gold prices by as much as 750 baht per baht weight on average on the domestic market and a latest move by investment funds to begin selling their gold stocks for profit taking, following Washington's recent release of key economic indicators, namely the unemployment figure, showing the improving US economy and American authorities now being unlikely to implement the third round of Quantitative Easing (QE3), which could lead to the appreciation of the U.S. dollars. However, Jitti warned people and investors to keep a close watch on the gold prices, as their volatility remains, recommending that short-term investors buy gold for profit taking, but long-term investors wait for the world gold prices drop further to 1,710 US dollars per ounce. The prices of gold fell by as much as 750 baht per baht weight after the opening of the domestic market this morning, but then rebounding by 100 baht per baht weight. At noon, the price of gold bar was reported at 24,950 baht per baht weight and the price of gold ornaments was reported at 25,350 baht per baht weight, being in line with the world gold prices which dropped significantly to 1,722 US dollars per ounce. (TNA)