Jan 14: Vietnam gold eases to VND35.7 Mln/tael, Dollar down

Local gold prices on January 14 morning eased for the second straight day to VND35.7million/tael, down VND130,000-VND170,000 from yesterday as the global gold prices fell to $1,372 an ounce. Dollar prices eased to VND21,020 in the free market.

SJC in Hanoi was listed at VND35.64billion/tael and VND35.7million/tael for bid and ask, respectively. Meanwhile, SJC in HCMC was listed at VND35.64million/tael and VND35.72milllion/tael for bid and ask, respectively.

Sacombank-SBJ in Ho Chi Minh was listed at VND35.61million/tael and VND35.71million/tael for bid and ask, respectively.

Bid and ask of Thang Long gold bullion, a product of Bao Tin Minh Chau were listed at VND35.63million/tael and VND35.73million/tael for bid and ask, respectively.

Local trading was thin, forcing local gold shops reduce bid-ask spread to below VND100,000, the state media reported, yet adding that local gold prices were still VND600,000 than global ones.

Meanwhile, gold fell in New York trade last night, snapping three sessions of gains as safe-haven buying subsided after successful European bond sales and a more positive economic outlook from U.S. Federal Reserve Chairman Ben Bernanke.

Spot gold was last bid around $1,372 an ounce.

U.S. gold futures for February delivery settled up $1.20 to end at $1,387 an ounce.

Bullion dropped as the euro posted its biggest rise against the dollar in more than six months after Spain and Italy staged successful bond sales, easing concerns about an escalation of euro zone debt strife.

“The fact that the euro rallied should have supported gold, but it didn’t because the reason for the rally was that the Spanish and Italian bond auction went well, which reduced the risk demand for gold,” said James Steel, chief commodity analyst at HSBC.

Gold was further pressured after Bernanke said the U.S. economy should grow around 3 % to 4 % this year, a healthier clip than in 2010, but not enough to bring down unemployment as much as policymakers would like.

Earlier in the session, gold rose toward $1,400 an ounce after data showed an unexpected jump in weekly U.S. jobless claims, their largest rise in six months. This lifted gold to a session peak of $1,392.80 an ounce, its highest since Jan. 4.

In the local market, dollar prices were quoted at VND20,950 and VND21,020 in the free market, down VND40-VND50 from yesterday. Meanwhile, those at Vietcombank were capped at VND19,495 and VND19,500 for bid and ask, respectively. – Stoxplus.com

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