Gold consumption surges 50% in January

Gold consumption in January is estimated to soar 50% on year on mounting demand for gold of local public, investors and firms after the Lunar New Year, the online newspaper Sai Gon Tiep Thi reported.

Gold transactions at SBJ’s chain stores surged to over 10,000 taels/day from 5,000-6,000 taels/day before, the local media reported, adding that 60% of gold selling come from half-tenth, one-tenth and two-tenth of a tael.

SJC in HCM city has recently sold out 6,000-8,000 taels per day against 5,000-6,000 last year, a source familiar with the information revealed.

PNJ has sold up to 3,000 taels/day during the last month, in which small gold pieces including one-tenth and two-tenth a tael account for about 50% of daily transactions and even up to 2,000 taels/day.

Nguyen Thi Cuc, PNJ’s deputy director said: “ Gold consumption in early 2011 doubled that in the same period last year. Trading of gold jewelry surged up to 57% in January”.

The shortage of small gold pieces has never been a precedent for PNJ, she said, adding that the company struggled to meet domestic demand for gold although storing up to 4,000 taels of gold in form of one-tenth, two-tenth taels.

Lang Van Hai, Sai Gon SJC said: “ Many small consumers bought gold for savings, while earlier, only big spenders bought taels of gold in the beginning of the year”. – Stoxplus.com

Tags: vietnam gold, Vietnam gold market, Vietnam gold prices