Domestic gold approaches VND40m again
Domestic gold approaches VND40m again
Domestic gold prices staged a strong rebound to approach the VND40 million level following the global rise today, July 31, whereas U.S. dollar prices remained low.
Saigon Jewelry Company (SJC) listed the precious metal at VND39.58 million per tael for buying and VND39.9 million per tael for selling, up VND200,000 compared with the previous day’s prices, according to Nguoi Lao Dong Online.
SJC then reduced the selling price to VND39.77 million per tael, while other gold trading companies cut their selling price to VND39.82 million per tael, still higher than prices recorded on Tuesday by some VND120,000 per tael. One tael is equal to 1.2 troy ounces.
Today marked the strong rise of domestic gold as its prices had been hovering at some VND39.6-39.7 million for many days.
On the world market, the yellow metal soared prior to the meeting of the U.S. Federal Reserve. Gold peaked at US$1,432 per ounce in the previous session, before easing to US$1,425 per ounce today.
Given the current exchange rate, global gold was some VND39.9 million per tael, higher than SJC gold by some VND200,000 per tael.
Meanwhile, commercial banks kept U.S. dollar prices as low as Tuesday’s prices, at VND23,140 for buying and VND23,260 for selling. The State Bank of Vietnam announced the central reference rate between the dong and the greenback at VND23,073, down VND12 from the previous day.
According to a macroeconomic report from BIDV Training and Research Institute, financial experts said the exchange rate rose slightly in July but remained stable compared with earlier this year. By end-July, the U.S. dollar had appreciated 0.23% against the start of the month but had fallen 0.16% versus the beginning of this year.
BIDV experts predicted the exchange rate will remain under control until the end of 2019, citing the flexible policies of the central bank and soaring foreign reserves in the country. The U.S. dollar prices are expected at VND23,200 or VND23,250.
However, they still warned of unpredictable developments in the world economy and the trade tension between the United States and China.
