Gold Bears Suffer Heavy Losses After Rapid Price Surge

MGR Online•Economy•222d ago

Reader Briefing

Gold prices experienced a dramatic surge and subsequent sharp decline, significantly impacting investors and gold traders.

•Gold prices have seen a significant increase globally, reaching new highs above $5,600 per ounce.
•Domestic gold prices in Thailand also surged, with a recent rise of approximately 16,900 baht per baht weight.
•A sudden, sharp drop of over 11% occurred on January 31st, with prices falling from $5,600 to $4,700 per ounce.
•Many investors who bought gold recently experienced substantial losses overnight due to the rapid price fall.

Overview

•Historically, gold prices were stable at around 400 baht per baht weight for decades, but have now become a highly volatile asset.
•The recent surge in gold prices is attributed to increased demand from central banks, a weakening US dollar, and geopolitical concerns in Iran.
•Domestic gold bar prices have increased by approximately 16,900 baht per baht weight since the beginning of the year, reaching peaks around 82,300 baht.
•Global gold prices quickly surpassed $5,600 per ounce, creating new millionaires worldwide.
•On Saturday, January 31st, gold prices experienced a sharp decline of over 11%, falling from $5,600 to $4,700 per ounce.
•Investors who recently bought gold at the peak experienced significant losses overnight, with many unable to sell in time.
•Gold shops, particularly in Yaowarat, saw overwhelming customer numbers on Friday after the price drop, indicating a rush to buy at lower levels.
•There is inherent uncertainty in gold price movements, and no asset rises indefinitely without eventual corrections.

Full article content is available on the original source.

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Key Quotes

Anonymous Analyst

"Domestic gold bar prices have risen by approximately 16,900 baht per baht weight since the beginning of the year, compared to the previous peak of 82,300 baht."

ราคาทองคำแท่งในประเทศ นับจากต้นปีขยับขึ้นมาแล้วประมาณ 16,900 บาทต่อทองคำแท่ง 1 บาท เมื่อเทียบกับราคาสูงสุดที่เคยขึ้นไปที่ 82,300 บาท

Anonymous Analyst

"Gold traders rushed to queue up to buy gold on Friday after prices dropped to around 80,000 baht, causing gold shops in the Yaowarat area to be overwhelmed."

บรรดานักเล่นทองคำที่แห่เข้าคิวซื้อทองคำเมื่อวันศุกร์ที่ผ่านมา หลังจากราคาร่วงลงมาระดับ 80,000 บาท จนร้านขายทองย่านเยาวราชแทบแตก

Anonymous Analyst

"Gold closed its rally, falling a staggering 11% in a single day on Saturday, January 31st, from $5,600 per ounce to $4,700 per ounce."

ทองคำก็ปิดรอบ ร่วงอย่างน่าใจหายวันเดียวกว่า 11% เมื่อเสาร์ที่ 31 มกราคมที่ผ่านมา จาก 5,600 ดอลลาร์ต่อออนซ์ทรุดฮวบเหลือ 4,700 ดอลลาร์ต่อออนซ์

Key Entities

Person

Sunan Srichantra(สุนันท์ ศรีจันทรา)

Author of the article discussing gold market trends.

Place

Iran(อิหร่าน)ℹ️

Nation whose geopolitical situation is cited as a factor influencing gold prices.

United States(สหรัฐ)ℹ️

Nation whose naval presence near Iran is contributing to geopolitical concerns affecting gold prices.

Yaowarat(เยาวราช)ℹ️

District in Bangkok known for its gold shops, where crowds gathered after a price drop.