September 24
THE price of precious yellow metal moved up to K1,900,000 per tical (0.578 ounce, or 0.016 kilogramme) on 23 September owing to the weaker Kyat, domestic gold market’s data showed.
The price of pure gold metal reached the highest of K1,900,000 per tical on 11 September tracking the devaluation of Kyat in the forex market, whereas it dropped to K1,855,000 per tical on 13 September. Again, the price rebounded to K1,900,000 per tical after ten days, according to the Yangon Region Gold Entrepreneurs Association (YGEA).
On 11 September, the association made six decisions including control of the market rally, permits for the members to secure transportation to and from gold refineries and for holding a large amount of cash.
The political instability, high demand in the domestic gold market, shortage of raw gold metals, the price gains in the international market and the Kyat depreciation are contributing factors to the spikes in the gold market.
The global gold price stood at only US$1,766 per ounce on 23 September, while a US dollar exchange rate was set at K1,905.
As a result of this, YGEA urged its members to regulate trade in order to deal with market volatility. The association has curbed the amount of gold that investors can trade. It permits only 10 ticals for daily trading.
In recent days, some received purchase orders without physical gold in the domestic gold market.
As a result of this, YGEA urged its members to regulate trade in order to deal with market volatility. To regulate unsustainable rally in the domestic gold market, the association called for the members to make a gold transaction with only immediate payment, avoid the verbal transactions over calls and halt trading outside the Yangon region, according to YGEA.
In January 2021, the gold price was ranged between the minimum of K1,316,000 per tical (28 January) and the maximum of K1,336,000 per tical (6 January). It reached an all-time high of K1,410,000 per tical on 3 February and hit the minimum of K1,340,000 per tical on 2 February. In March, the rate fluctuated between the highest of K1,391,000 (25 March) and the lowest of K1,302,000 (4 March). The price was registered the highest of K1,455,000 (30 April) and the lowest of K1,389,000 (1 April). The price reached an all-time highest of K1,709,000 (12 May) and the lowest of K1,447,000 in May. The price moved in the maximum of K1,575,500 (11 June) and the minimum of K1,543,000 (19 June).
It fluctuated between K1,562,300 (26 Jul) and K1,587,000 (K1,587,000). Last month, the price of gold reached the lowest of K1,572,800 (3 August) and the highest of K1,698,000 (31 September)), the gold traders said. – GNLM
