Domestic gold prices increased sharply on Wednesday morning, in line with gold gains on international markets.
Gold price quotes at Sai Gon Jewelry Co Ltd (SJC), Viet Nam’s largest gold company, are VND37.07 million (US$1,594) per tael for buying and VND37.27 million per tael for selling, up VND270,000 per tael over Tuesday’s close. (One tael of gold equals 37.8 grammes.)
This is also the highest price in the past one week.
Doji Gold and Gems Group in Ha Noi also raised its gold price by VND240,000 per tael this morning with the selling price quoted at VND37.22 million per tatel.
Other gold businesses made similar moves.
Gold prices at Bao Tin Minh Chau and Phu Quy jewellery companies also increased between VND150,000 and VND250,000 per tael, depending on gold type.
Than Tai Phu Quy 9999 gold is quoted at VND36.85 million and VND37.25 million for buying and selling, respectively, while Thang Long Dragon Gold prices are VND37.04 million and VND37.49 million.
Spot gold in the New York market increased by more than $14, or 1.1 per cent, to $1,341 per ounce on Tuesday, its highest since April 25, 2018. US gold futures rose 0.8 per cent to $1,332.4 per ounce. (One ounce is 1.2 tael)
Gold is trading around $1,343 this morning.
"Gold is still in a bullish mode. Investors are still pricing in a dovish US Federal Reserve," ActivTrades Chief Analyst Carlo Alberto De Casa was quoted as saying on moneycontrol.com.
Gold price has gained 4.8 per cent in the last 30 days and 3.6 percent so far this year on expectations the Fed will pause its interest rate hikes and better result from trade negotiations between the world’s two largest economies.
Investors have a close watch on the minutes of the Fed’s policy meeting due on February 20 for more guidance on rate increases this year.
In comparison with the domestic price, global gold is being priced VND300,000 higher than SJC’s gold.
This morning, the State Bank of Viet Nam adjusted its benchmark rate for the US dollar down VND2 per dollar. With the exchange rate band of +/-3 per cent, both Vietcombank and Bank for Investment and Development of Viet Nam (BIDV) are quoting USD buying/selling prices are VND23,150 and VND23,250 each. — VNS