Thai Gold Prices Plummet on Fed Rate Hike Expectations

Thai gold prices took a hit on Saturday, September 5, after stronger-than-expected US employment data fueled expectations of a Federal Reserve interest rate increase. As a result, Thai gold prices opened lower by 500 baht compared to the previous day's gain.

The Gold Traders Association announced the selling price of 96.5% gold bars at 69,150 baht per baht-weight, while gold jewellery of the same purity was selling at 69,950 baht. These prices are below the 70,000-baht level and reflect a decrease in demand due to the interest rate hike expectations.

The opening decline erased Friday's net increase of 500 baht, which had been adjusted 19 times during that session. The market is closely watching the Fed's decision on interest rates, as it can significantly impact gold prices.