Gold Prices Surge as Global Demand and Geopolitical Tensions Drive Market to New Highs.

Bangkok: The world gold price continues to surge, reaching an unprecedented $2,800 per ounce, with predictions of an increase to $3,000 per ounce in the near future. This rise has driven Thai gold prices to new heights, with today's prices surpassing yesterday's closing figures. According to Thai News Agency, the Gold Traders Association reported changes in gold prices twice this morning, with an increase of 200 baht per baht of gold from the previous day. This marks a record high akin to the peak trading price from the previous day. Currently, gold bars are being sold at 44,550 baht per baht, while gold ornaments are priced at 45,050 baht per baht, reflecting the SPOT gold price of 2,787.50 dollars per ounce and an exchange rate of 33.70 baht per dollar. The increase aligns with global market trends, as last night's New York gold contract closed at 2,800 dollars, a 19.70-dollar or 0.71% increase. This surge is attributed to the uncertainty surrounding the US presidential election and heightened geopolitical tensions, prompting investors to turn to gold as a safe asset. Market observers are closely monitoring US economic data this week for indications of the Federal Reserve's potential interest rate directions. Analysts suggest a strong likelihood of the gold price escalating to $2,850 per ounce soon. Heraeus Metals Germany analysts forecast that gold prices could reach $3,000 per ounce by 2025, supported by investment inflows into gold ETFs. Meanwhile, the World Gold Council (WGC) reported a 5% increase in global gold demand, reaching 1,313 tons in the third quarter of 2024, a record high. This surge is driven by robust investment from Western countries and increased ETF investments. The ongoing geopolitical uncertainty, coupled with the US presidential election results and the US government's significant budget deficit, continues to bolster gold purchases as a safe haven asset.