Nov 10: Vietnam gold hovers at VND36.8Mln, Dollar flat

Vietnam gold prices hovered at VND36.8million, down VND1.5million/teal from the all-time high yesterday as the State Bank of Vietnam (SBV) gave gold import quota to local banks.Meanwhile, dollar prices stayed flat at VND21,200.

Vietnam gold prices on November 10 morning hovered at VND36.8million, down VND1.5million/teal from the all-time high yesterday as the State Bank of Vietnam (SBV) gave gold import quota to local banks. Meanwhile, dollar prices stayed flat at VND21,200, near the lifetime peak of VND21,500.

At 11 a.m., SBJ was listed at VND36.48million/tael and VND36.64million/tael for bid and ask, respectively.

Phu Quy SJC in Hanoi was listed at VND36.5million/tael and VND36.75million/tael for bid and ask, respectively.

Bid and ask of Thang Long bullion, a product of Bao Tin Minh Chau were listed at VND36.6million/tael and VND36.85million/tael for bid and ask, respectively.

The State Bank of Vietnam on November 9 granted gold import quotas valid for 14 days to several banks and at least one gold company in a move to calm the domestic market, a state-run newswire reported.

“The central bank’s decision had a positive impact on the market sentiment. Local gold prices plunged and the public stopped rushing to buy gold”, said Nguyen Thi Cuc, PNJ Jewelry’s deputy general director.

In Asian trade this morning, spot gold rose 0.4% to $1,397.81 an ounce by 0256 GMT, off the all-time peak of $1,424.10.

“Gold tends to be pretty resilient and finds a reason to bounce back,” said Darren Heathcote, head of trading at Investec Australia.

But holdings in the world’s largest gold-backed exchange-traded fund, SPDR Gold Trust had been steady over the past two weeks at levels just above 1,290 tons.

Usually a stronger dollar suppresses gold prices, but the greenback had risen half a percent against a basket of currencies, while gold stayed in the positive territory too.

Spot gold is expected to rebound to $1,410 an ounce then fluctuate between $1,387 to $1,410 for several sessions before a directional move, said Wang Tao, a Reuters market analyst.

In the local market, dollar prices at the gold shops were quoted at VND21,100 and VND21,200 for bid and ask, respectively. Meanwhile, those at Vietcombank are capped at VND19,490 and VND19,500 for bid and ask, respectively. – Stoxplus.com

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