Gold price in Thailand to rise 10%

BANGKOK, January 1 (TNA) - The price of gold in Thailand could climb 10 percent in 2013 from its top spot at 1,950 U.S. dollars or 27,000 baht per ounce last year. However, there would not be a sharp rise as compared to 33 percent in 2010, 10 percent in 2011 and around 5-8 percent in 2012, says Jitti Tangsitpakdi, president of Gold Traders’ Association of Thailand. Investment returns from gold assets over the past five years averaged at 20 percent, albeit the rise of inflation. Meanwhile, investors are advised to stay cautious of pressing factors, especially from the easing of financial restrictions by major central banks, the U.S. fiscal cliff and the European debt crisis, all of which may impact the investment market throughout this year. Also, gold price movements could become volatile due to persisting gold demand in China and India, which are holding gold as reserves in place of the weakening U.S. dollar. (TNA)