Hefty drop in gold price boosts trade

Following Tuesday’s sudden slide in global gold prices, the local market on Wednesday saw the yellow metal plunge VND270,000 per tael.

Saigon Jewelry Holdings Co. (SJC) quoted the gold buying price at VND27.67 million per tael and that for selling at VND27.72 million. A tael equals 1.2 troy ounces.

In Hanoi, Bao Tin Minh Chau Co. traded gold at VND27.7 million on buying and VND27.77 million on selling. A tael equals 1.2 troy ounces.

According to gold shops around markets such as Ben Thanh, Tan Dinh, and An Dong in HCMC, people rushed to buy the metal when the price declined, making shops’ selling volume rise by 30% from the previous day.

The sales department of SJC said its selling volume on Wednesday leapt by 50% compared to previous days, with 1,000 taels bought and 2,000 taels sold. However, Nguyen Cong Tuong, SJC’s sales manager, said that compared to previous price falls, the selling volume this time was not high.

“Some investors have hesitated to buy despite the strong decrease. The local price was still VND500,000 per tael higher than the global level. In addition, many investors expect the world price to decrease to US$1,150 an ounce in the near future, so they have held off buying,” he added.

In Hanoi, Bao Tin Minh Chau Co. said buying outpaced selling at its store.

The global gold price was US$1,159.3 an ounce on the U.S. market by 9 p.m. on Wednesday. – SaigonTimes

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