Local gold price up, but market unstable
Local gold price up, but market unstable
The local gold price increased slightly yesterday due to worries of instability in the market despite positive signs from the US economy.
Yesterday, the price of gold brand Sai Gon Jewellery Joint Stock Company (SJC) at gold company DOJI was announced at VND35.55 million and VND35.62 million per tael, increasing VND50,000 for buying rate and decreasing VND20,000 for selling rate against the previous day.
On the same day, Sai Gon Jewellery Joint Stock Company bought each tael of SJC gold bars for VND35.42 million, reducing VND10,000 and sold at the same price of VND35.67 million compared with the previous closing rate.
In the Asian market, the gold price yesterday morning was slightly increased by US$0.1 to $1,257.9 per ounce following the previous rise in the US market.
The gold price yesterday was 18.4 per cent higher than at the beginning of the year. Gold in the world market was traded at around VND34.1 million per tael excluding taxes and fees.
The increasing gold price in the world market was because of instability. The US dollar fell after several consecutive hikes to the highest level in seven months.
Local investors were worried after China announced a sharp decrease in exports by 10 per cent in the first nine months of the year from the same period last year.
They were aslo afraid that the US dollar could not maintain its surge due to decreasing exports in China.
The reduction in several big economies including China, UK, EU and Japan could cause instability and contribute to higher gold prices.
DOJI said the market quickly responded to the gold prices.
Investors always act quickly when there were fluctuations in the world market.
