Gold tops new high in Vietnam

The price of gold in Vietnam jumped to above VND39 million a tael (1.2 ounces), an all-time high, on July 14 as global price continuously advanced to head for US$1,600 an ounce.

Sacombank Jewelry Company purchased gold at VND39 million and sold at VND39.06 million as of 9:15 am local time.

Saigon Jewelry Company bought the metal at just above VND39 million and sold at VND39.07 million at the same time, an increase of VND500,000 a tael over the previous day.

Meanwhile, the Hanoi-based Phu Quy Jewelry bought SJC-brand gold at VND38.94 million and sold at VND39.06 million.

Domestically, gold still fetched around VND500,000 a tael lower than global price.

According to jewelers, trading on bullion market was fairly high with most people taking advantage of record price to lock in gains.

State-owned Vietcombank bought the greenback at VND20,550 and sold at VND20,610, unchanged as of the previous day. Meanwhile, the interbank exchange rate also remained at VND20,608.

Internationally, gold continuously hit new records as the US dollar slumped after the US Federal Reserve chairman signaled the central bank is prepared to provide additional stimulus to bolster the economy and the European debt crisis worsened, spurring the demand for the precious metal as an alternative asset.

Gold for immediate delivery surged as much as $15.3 an ounce, or 0.9 percent, to close at $1,583.6 an ounce on the Comex in New York. The metal hit an all-time high of $1,577 an ounce in May.

In Asia, the metal maintained rising trend in the trading session this morning. Spot gold added up $5.9 an ounce to trade at $1,589.5 an ounce as of 9 am Vietnamese time.

In Europe, Italy is still facing the possibility of following the trail of Greece and Ireland. Meanwhile, Ireland and Portugal might need a second rescue package.

The yellow metal has gained 12 percent this year. Some experts expected that it would surpass $1,600 an ounce this year. Some even forecast that it would top $1,700 in December.

The euro exchange rate against the US dollar rose to above $1.42 a euro in Tokyo this morning from below $1.4 a euro the previous day.

Crude oil futures for August delivery traded at $98 a barrel as of 9:30 am Vietnamese time. – SGGP

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