SBV postpones gold auction today
It will launch the next gold bullion auction at 10am tomorrow to increase the supply in the market.
The State Bank of Việt Nam (SBV) announced on Monday that it has cancelled the auction of SJC-branded gold bars, which had been set for 10am the same day, due to a lack of sufficient members registering for the bidding and failing to comply with the required deposit payment regulations.
To implement measures to increase the supply of gold bullion in the market, the auction will be organised at 10am on April 23 instead. Extensive notifications have been sent to credit institutions and businesses, urging them to register for bidding and submit the required deposits today.
Previously, the central bank announced it would conduct an auction for the total of 16,800 taels of gold bullion. Each transaction lot consists of 100 taels. The auctioned gold is SJC gold, manufactured and organised by the SBV.
The SBV explicitly states that the deposit rate for participating in the auction is 10 per cent, with a reference price of VNĐ81.8 million per tael (US$3,213) used to calculate the deposit value.
The minimum bidding volume allowed for each member is equal to the expected bidding volume for every member. The minimum bidding volume per member is set at 14 lots, equivalent to 1,400 taels, while the maximum volume is 20 lots, equivalent to 2,000 taels.
The bidding price is VNĐ10,000 per tael and the bidding volume is one lot, equivalent to 100 taels.
The central bank also specifies that each bidding member is permitted to register with a minimum price equal to or higher than the floor price announced by the SBV.
Credit institutions and businesses participating in the auction must fulfil all the requirements stipulated by the central bank.
Domestic gold prices tumbled ahead of the auction this morning.
At 9am (local time), SJC gold prices are quoted at VNĐ80,30 million per tael for sellers and VNĐ82,8 million for buyers, down 1.3 million per tael from the last session.
Similarly, DOJI gold prices also reported a decrease of 1.1 million per tael to VNĐ80.15 million per tael for sellers and VNĐ82.75 million for buyers. — VNS
