Domestic gold prices suffered a drop of between VND500,000 and VND1 million per tael for selling, falling to VND58 million per tael during the opening session of the week on the morning of August 10 following a series of sharp increases in recent times.
The Saigon Gold, Silver and Gemstone joint stock company at 9:30am quoted the price of SJC gold at VND57.46 million to VND59.22 million per tael, representing a drop of between VND1.04 million and VND1.08 million per tael for buying and selling, respectively.
Simultaneously, Phu Quy gold firm listed the price of the precious metal at VND57.5 million and VND59.2 million for its selling and buying prices, marking declines of VND300,000 and VND600,000 per tael, respectively, against the previous session last week.
Bao Tin Minh Chau, one of the nation’s leading gemstone brands, moved to record its gold at between VND57.2 million and VND58.6 million per tael by noon, a fall of VND1.2 million per tael in terms of both the buying and selling prices in comparison to the previous trading session on August 8.
These drops come after prices in the domestic market climbed to VND60 million per tael on August 6 morning, reaching historic highs of VND62 million per tael several hours later.
According to experts, a number of people have been flocking to purchase gold amid sharp increases to global prices. As many gold firms didn’t have a sufficient stock to sell to customers, this shortage of supply served to push prices higher each day.
The recent surge in gold prices may cause increased risk for individual buyers. At sensitive times, gold firms tend to expand the difference between selling and buying prices, with the gap occasionally reaching between VND2 million and VND 3 million in order to ensure buyers share risks with businesses. This is done as a means of keeping individuals cautious when it comes to purchasing gold, economist Nguyen Tri Hieu said.
The recent decreases to hit domestic gold prices can largely be attributed to similar trends occurring in the world’s price of the precious metal. Indeed, the global market on the morning of August 10 saw gold at US$2,030.8 per ounce, down by US$4 per ounce in comparison to the previous trading day.
Furthermore, the price of US dollars showed a slight increase on August 10, with the State Bank of Vietnam listing the exchange rate at VND23,215 per US dollar, up VND15 per US dollar against the transaction two days earlier.VOV