Jan 21: Vietnam gold plunges VND300,000 to VND35.28Mln/tael

Local gold prices on January 21 morning fell for the second straight day to VND35.28million/tael, down VND300,000 from yesterday as global gold prices shed to its weakest since Nov. 19.

At 8:39 a.m., Sacombank-SBJ in Ho Chi Minh was listed at VND35.18million/tael and VND35.28million/tael for bid and ask, respectively.

Bid and ask of Thang Long gold bullion, a product of Bao Tin Minh Chau were listed at VND35.22million/tael and VND35.32million/tael for bid and ask, respectively.

SJC in Hanoi was listed at VND35.2million/tael and VND35.32million/tael for bid and ask, respectively. Meanwhile, SJC in HCMC was listed at VND35.2million/tael and VND35.32milllion/tael for bid and ask, respectively.

In the global market, spot gold fell as low as $1,342.65 an ounce, its weakest since Nov. 19, and was last bid around $1,348 an ounce, against $1,370.05 late in New York on Wednesday.

U.S. February gold futures for February delivery settled down $23.70 to end at $1,346.50 an ounce.

Holdings in the SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, continued to decline, falling to 1,251.433 tons on Jan, 19, its lowest since May 2010. Its holdings are down more than 29 tons so far this year, data on the fund’s website showed.

The precious metal fell in early trade after Chinese inflation data showed that price pressures were growing more than expected and could prompt the government to step up its approach to tightening monetary policy.

This also sparked losses in industrial commodities like oil and copper and rattled the stock markets, with equities falling on both sides of the Atlantic.

“Gold is struggling, very much so,” said Saxo Bank senior manager Ole Hansen. “ETF positions continue to be scaled back.

“We have forgotten the importance of the U.S. stock market during this relentless rally over the last couple of months. If we see a deeper correction now, I think that almost all asset classes will struggle to make any upside progress.”

Gains in the euro, and a subsequent retreat in the dollar, kept gold supported above $1,360 an ounce early on Thursday, but the precious metal slid below that level as the euro surrendered gains versus the U.S. unit in later trade. – Stoxplus.com

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