Bangkok: The price of Thai gold continues to rise, reaching a new daily high with gold ornaments selling for 65,250 baht per baht weight today. Gold prices continue to surge, opening the market today up 300 baht from yesterday’s closing price. Prices fluctuated throughout the day. As of 11:27 a.m., the Gold Traders Association website reported that domestic gold prices had risen six times. Gold bar prices reached another new high, with selling prices rising to 64,450 baht per baht weight, while gold ornaments were sold at 65,250 baht per baht weight before falling 100 baht at 11:27 a.m. Meanwhile, the global gold spot price was $4,178 per ounce. The baht strengthened slightly to 32.55 baht per dollar, up from 32.62 baht per dollar this morning.

According to Thai News Agency, geopolitical uncertainty, expectations of a Fed interest rate cut, central bank gold purchases, and inflows into gold ETFs are all factors supporting the gold market. Analysts believe that global gold prices are rising as Fed Chairman Jerome Powell has begun signaling an end to balance sheet reduction or QT, in order to maintain sufficient dollar liquidity in the system and prevent it from hindering economic growth. This is an indirect factor that has led to inflation in the United States and caused gold prices to rise.

Meanwhile, Powell did not mention further interest rate cuts, but expressed concerns about the slowing labor market and persistently high inflation. Citigroup economist Andrew Hollenhorst also said the US shutdown could extend into November, and the temporary furlough of 750,000 government workers may not be enough to convince Democrats and Republicans to compromise. He estimated the shutdown would impact US GDP by about 0.8%.