Gold prices up but still cheaper than world prices

Domestic gold prices jumped to VND37.35 million (US$1,801.48) per tael this late afternoon following an increase in global prices to $1,495 per ounce.

But the local prices are still VND300,000 ($14.47) cheaper than the global ones.

Trading has started to become more vibrant, according to local dealer Sacombank Jewelry Limited Company.

A market analysis by local lender Eximbank shows Asia is now confronted by high inflation while Europe is facing both inflation and public debt problems, and the US dealing with huge budget deficits.

So investors believe currencies will lose their value sooner or later.

They now tend to pour investments into gold, which is a reason for a continual rise in global prices during the past few days.

Experts, however, believe that world gold prices are also under the pressure of investors selling to ensure gain, especially right before a Christian holiday on Friday this week.

1 tael = 1.21 troy ounces. – Tuoitre

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