Gold prices climb in the market

Monday, Mar 09, 2020 15:55

Gold prices go up in Viet Nam on March 9 after more positive cases of Covid-19 reported in the country. — Photo kinhtedothi

Global gold prices pushed above the US$1,700 per ounce level for the first time since late 2012 on Monday, when local gold prices also soared.

As a widening coronavirus outbreak and a plunge in crude oil hammered equities and sent investors scurrying for safe havens, gold prices on Kitco.com rose to $1,702 this morning.

In Viet Nam, after the 30th case of Covid-19 was reported in the last two days, gold prices also soared to hit VND 48.2 million (US$2,093) per tael ($1,736 per ounce) at the same time.

Each tael of gold increased about VND1 million from its level last week. The price gap between selling and buying was more than VND1 million.

Between 8am and 9am this morning, Doji was asking VND48.30 million for each tael of gold, while Sai Gon Jewellery Company (SJC) posted VND48.20 million per tael. Bao Tin Minh Chau gold firm listed its precious metal at VND48.15 million each in selling prices. Smaller shops were also asking for similar prices.

Then the local prices were rated down a bit when the global prices fell to less than US$1,700 per ounce on the gold exchange Kitco.

Ha Noi-based Bao Tin Minh Chau Gold firm recorded a surge in transactions in the morning with 55 per cent buyers and 45 per cent sellers.

The firm also said they recorded more gold traders in the north than in the south and the centre of Viet Nam.

The firm said on its website it was a good time for investors to trade gold to make a profit.

Talking to Viet Nam News, Nguyen Tri Hieu, a finance-banking expert, said that due to the impact of the Covid-19 epidemic, investors around the world are seeking safe havens.

Hieu thought: “Gold buyers see opportunities, but they should also be aware of many risks. They should never invest in gold with salary or business capital, they should instead buy gold with unused money.”

Hieu also said: “Don’t put everything in gold.”

Phan Dung Khanh, investment director of Maybank Kim Eng Securities said: “Prices are fluctuating so much.”

Khanh thought the gap between selling and buying was kept at maximum at VND500,000-700,000 for the last few years but now it became large again, adding: “In the last several weeks, it has been more than VND1 million.”

As Khanh thought the global prices could reach $2,000 per ounce ($2,410 per tael) this year, he advised: “People still can invest in gold, but they should watch the prices.”

On a forum of local gold investors, Nguyen Hoang Duong, who bought 20 taels of gold in June 2019, for more than VND43 million each said: “I will wait until gold prices reach VND50 million per tael to sell mine.” — VNS

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