Domestic gold price outpaces global price by VND1 million again

The price of gold in Vietnam stood above VND47 million a tael (1.2 ounces) on September 8 while global price strongly recovered in the trading session in New York last night.

Sacombank Jewelry Company bought gold at VND46.91 million and sold at VND47.29 million at 9:30 am local time.

Saigon Jewelry Company, the biggest gold shop in Vietnam, bought gold at VND46.92 million and sold at VND47.22 million at 10:05 am local time in Ho Chi Minh City.

Hanoi-based Phu Quy Jewelry Company purchased SJC-brand gold at VND46.85 million and sold at VND47.25 million at the same time.

Yesterday, the metal fell by VND1 million a tael over the previous day to near VND47 million as the global price suddenly lost by $40 an ounce for a few minutes.

Domestically, gold fetched around VND1 million higher than global price.

The US dollar exchange rate strongly rose on free market this morning. Dollars were bought at VND20,880, and sold at VND20,950, an increase of VND40 per dollar in buying price and VND50 per dollar in selling price over the previous day.

Internationally, gold plunged as investors sold the metal heavily to take profits after the metal hit an all-time high and positive news came out from Europe eroded the appeal of the yellow metal as an alternative asset.

Gold for immediate delivery dropped as much as $56.3 an ounce, or 3 percent, to close at $1,818.3 an ounce on the Comex in New York. Earlier, the heavy metal dived to $1,790 an ounce.

This morning, gold highly recovered. Spot gold regained $13.3 an ounce to trade at $1,832 an ounce at 10:05 am Vietnamese time.

Germany’s top court cleared the way for Chancellor Angela Merkel’s coalition to participate in the current euro-area rescue plans, while saying it must seek some additional parliamentary approval for payouts under the funds. Besides, the country’s industrial production jumped the most in more than a year in July as late school holidays boosted factory output, increasing belief that the largest economy in Europe will avoid recession.

The euro exchange rate against the US dollar was below $1.41 a euro in Tokyo this morning.

Crude oil futures for October delivery rose $0.1 a barrel to trade at $89.44 a barrel at 10 am Vietnamese time. – SGGP

Posted by VBN on Sep 8 2011. Filed under Gold. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry