Bangkok: The price of Thai gold rose this morning in line with the world market, while the price of crude oil also increased due to concerns that the Ukraine-Russia war might escalate. The price of gold in the country rose three times by 9:40 a.m., totaling an increase of 200 baht per baht of gold. Gold bars are now being sold for 43,000 baht per baht of gold, following the direction of the world market where the New York gold futures contract closed higher on Monday (November 18). The gold futures contract on the COMEX (Commodity Exchange) for December delivery rose by $44.50 or 1.73%, closing at $2,614.60 per ounce. According to Thai News Agency, both gold prices and global crude oil prices surged after investors turned to gold as a safe asset. This move came after the administration of US President Joe Biden approved Ukraine's use of the US Army Tactical Missile Systems, or ATACMS, to strike deep into Russian territory. In response, Russia warned that such actions suggest that the US is directly involved in a war with Russia, potentially escalating into World War III. The weaker dollar has made dollar-priced gold more attractive to investors holding other currencies. The dollar index, which measures the greenback against a basket of six major currencies, decreased by 0.38%, standing at 106.276. Kasikorn Research Center reported that the baht adjusted to around 34.64-34.66 baht per dollar this morning at 09:30, compared to yesterday's closing price of 34.82 baht per dollar. This was partly due to the increase in world gold prices. Meanwhile, the dollar continues to face profit-taking and position adjustments after a significant rise in the prior period. On the oil front, Thai Oil PCL reported that the WTI crude oil contract for December delivery rose by $2.14, closing at $69.16 per barrel. The Brent crude oil contract for January delivery increased by $2.26, closing at $73.3 per barrel. However, Dubai crude oil saw a slight decrease, closing at $70.35 per barrel, down $0.28. Thai Oil PCL also noted that ma rket concerns are growing over the escalating conflict between Russia and Ukraine, exacerbated by the US government's recent military support to Ukraine. Additionally, production was suspended at the Johan Sverdrup oil well in Western Europe due to a power outage, and the Tengiz oil well in Kazakhstan, operated by Chevron, has reduced production by 28%-30% due to maintenance issues.
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