Gold prices projected to stay high this year

GOLD prices in the global market are projected to remain volatile this year with a possible price surge to US$1,090 per ounce, a veteran gold trader said.

Thanasin Kleeplamcheak, gold trading chief for Osiris Co., said gold prices are likely to continue on an upward trend this year.

He predicted that prices would go up to $1,090 per ounce from $908 at present and $743 at the lowest last year as futures gold trading in Asian markets, particularly China, had expanded. 

Mr. Thanasin said there are five key factors that boost gold prices, including the weakening of the US dollar,          interest rate decline, higher commodity prices, political uncertainties and             terrorism in certain regions, and greater attention by personal funds to investing in gold.

Suwan Walaisathien, chairman of the Money-Saving People Club, said gold prices are likely to surge to $975 per ounce.

By comparison with the currency exchange rate of Bt33 to the US dollar, the price of gold locally in Thailand would stay at Bt15,000 per one-baht weight.

He said the US Federal Reserve’s move to reduce the policy interest rate would fuel the gold price increase.

So, he said, investing in gold and commodity products is advisable because their prices are expected to stay high.—TNA