Domestic gold price hits record high on spot gold rally, kyat depreciation

 

The domestic gold price rally extended, reaching a fresh peak of K4.84 million per tical (0.578 ounce or 0.016 kilogramme) on 10 April as spot gold price hit a high of approximately US$2,350 per ounce and kyat depreciated to K3,870 against a US dollar.

 

Despite the record-high gold price, the Yangon Region Gold Entrepreneurs Association (YGEA) set the reference price at K3,997,900 per tical, showing a large gap of over K840,000 per ti­cal with the actual market value.

 

YGEA notified on 30 March that inspections were underway against those allegedly manip­ulating the market through a verbal deal.

 

Seven big gold shops in Yan­gon issue daily market prices three times a day. Nonetheless, those price speculators are at­tempting to raise the price by misleading price information that is not an actual transaction rate in the market. The YGEA condemned those unscrupulous traders and their dishonest acts. The YGEA asked its members to inform law enforcement agen­cies of the news regarding those manipulators.

 

The authorities are inspect­ing those alleged price specula­tors with the verbal deal in the market.

 

The CBM initiated an online trading market in which export­ers/importers and private banks are engaged, with a view to de­veloping the foreign exchange market and stopping price ma­nipulation. The market exchange rates are officially announced on the online trading platform of the foreign currency market. Additionally, CBM let the author­ized money changers sell the foreign currency as petty cash to those studying abroad, going on a pilgrimage and working abroad, according to the CBM’s notification on 30 March.

 

Some unscrupulous individ­uals are attempting to manip­ulate the market by spreading misinformation from the verbal deal or sparking public concerns with malicious news about the volatile exchange rate. Some are also engaged in transactions without a valid licence, violating the existing laws.

 

They will face legal action under the Foreign Exchange Management Law. CBM also informed the people of accurate information and data released by the departments concerned and authorized money changers.

 

CBM constantly states that it is essential to dispel false news. Upon tips off, the authorities in­spect the price speculators, and legal proceedings against them are officially declared, according to its notification released on 30 March. — NN/EM