April 8: Vietnam gold rebounds to VND37.2Mln, Dong at all-time low

Local gold on April 8 broke the VND37million threshold to VND37.2million/tael as gold struck a record high in Asian trade. The dong dropped to an all-time low of VND20,718 per dollar at banks.

As of 2:13 p.m. Hanoi time, Sacombank-SBJ gold as listed at VND37.13million/tael and VND37.17million/tael for bid and ask, respectively.

Bid and ask of Thang Long gold bullion, a product of Bao Tn Minh Chau were listed at VND37.08million/tael and VND37.21million/tael for bid and ask, respectively.

SJC in Hanoi was listed at VND37.11million/tael and VND37.2million/tael for bid and ask, respectively, meanwhile, SJC in HCMC was listed at VND37.11million/tael and VND37.18milllion/tael for bid and ask, respectively.

In Asian trade this morning, gold struck a record high on Friday, as a weaker dollar and concerns about inflation sent investors piling into precious metals.

Spot gold rose as high as $1,466.40 an ounce, on track for a gain of 1% this week.

“Corrections from here are likely to be shallow, with fresh investment demand emerging on all dips. $1,500 an ounce is around the corner and may be hit in the next few sessions,” said Pradeep Unni, senior analyst at Richcomm Global Services in Dubai.

The world’s largest gold-backed exchange-traded fund, SPDR Gold Trust, said its holdings rose to 1,217.209 tons by April 7, their highest since mid-March.

“Maybe there is some dollar-related buying because it’s weakening. People see the ETF increasing a bit, so they want to buy some gold,” said Ronald Leung, director of Lee Cheong Gold Dealers in Hong Kong.

Spot gold is poised to rise to $1,477 per ounce based on its wave pattern and a Fibonacci projection analysis, according to Wang Tao, a Reuters market analyst for commodities and energy technicals.

U.S. gold futures for June hit $1.468 an ounce, a record high.

The ECB raised interest rates for the first time since the 2008 financial crisis on Thursday and signaled it was ready to tighten policy further if needed to check rising prices.

In local official forex market, the dong tumbled to all-time low as the State Bank of Vietnam (SBV) weakened reference rate to VND20,718 per dollar compared to VND20,713 per dollar yesterday, according to the central bank’s data. – Stoxplus.com

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