Gold is traded at the Phu Quy Gold Firm in HCM CIty. On March 24, gold prices increase in both global and local markets. — Photo cafef.vn
Gold prices went up in both global and local markets on March 24 when the gap of the prices between the two markets narrowed.
As of today, spot gold prices increased US$52.4 per ounce to stand at $1,584 ($1,908 per tael) on the global gold exchange Kitco.com. At some certain times of the day, the prices reached $1,595 per ounce ($1,921 per tael).
In the world market, the prices of gold rose more than 2 per cent after the Fed made an urgent announcement on the second initiatives to support the economy to cope with the impact of the pandemic.
In the domestic market, the prices of the yellow metal rose VND1 million ($43) per tael to reach VND47.3 million ($2,031) in Sai Gon Jewellery Company (SJC).
Gold firms Doji and Bao Tin Minh Chau were asking less than SJC, at VND47 million ($2,018) per tael of gold.
Today, the gap between local and international prices was $97. Last Friday, it was $173.
According to the experts, the gap between domestic and international gold prices were suddenly shortened when the exchange rate between the local currency and the US dollar increased.
Currently, the selling prices of the greenbacks at most commercial banks was about VND23,730 per dollar, which was rated VND24,000 in the free market. Compared to last Friday, each US dollar increased more than VND40. In the past ten days, the note already increased VND70 each at local banks.
As an experienced investor of the metal, Phan Dung Khanh, investment director of Maybank Kim Eng Securities, told Viet Nam News the COVID-19 pandemic and other unexpected tensions would increase the prices in the future. He thought global prices could reach $2,000 per ounce ($2,410 per tael) this year.
However, speaking to local media, Tran Thanh Hai, chairman of the Viet Nam Gold Trading and Investment Joint Stock Company (VGB) compared the movement of the current gold prices with the crisis of 2008-2009, when the prices of gold dropped from above $900 per ounce to more than $700 per ounce, causing great losses to many investors.— VNS