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Gold hits VND41 million per tael

SGGP
The price of gold in Vietnam jumped to VND41 million (US$1,762.38) per tael (1.2 ounces) on August 6 as global bullion price hit six-year highs due to increasing safe-haven demand amid escalating trade war between the US and China.

Gold hits VND41 million per tael

Saigon Jewelry Company bought gold at VND40.5 million per tael and sold at VND40.8 million per tael at 4.30 p.m. in Ho Chi Minh City, an increase of VND300,000 per tael over the previous day.

At the same time in Hanoi, Doji Gold and Gems Group listed SJC’s gold at VND40.6 million for buying and VND41 million for selling, the highest level since mid-May 2013. This was the first time in more than six years domestic gold price has reached VND41 million per tael.

Globally, the precious metal soared US$23.4 an ounce to close at $1,464.4 an ounce in New York.

In Asian market, spot gold gained $2.2 an ounce to trade at $1,466.6 an ounce at 9 a.m. Vietnamese time on August 6. Global bullion price was around VND200,000 per tael higher than domestic one.

The State Bank of Vietnam also raised reference exchange rate by VND15 per dollar to VND23,115 per dollar, a new record high. Thus, in two consecutive days, the central bank has increased reference exchange rate by VND26 per dollar in total, or an increase of 0.11 percent. In comparison with that at the beginning of this year, reference exchange rate rose VND290 per dollar, or 1.27 percent.

The Vietnam’s stock market declined for three straight trading sessions on August 6 as investors were bearish due to negative impacts from global stock markets. From the beginning of the trading session, red flooded the market, the benchmark lost more than 10 points as large-cap stocks including HVN, PLX, MSN, MBB, VHM and GAS plummeted. After that, bottom-catching demand joined the market, helping some large-cap stocks to make a U-turn, of which VIC surged 1.5 percent and MWG edged up 0.5 percent.

Foreign investors also contributed to the slump of Vietnam’s stock market as they continued to net sell around VND286 billion.

The VN-Index fell 8.54 points, or 0.88 percent, to close at 964.61 points. The HNX-Index sank 1.02 points, or 0.99 percent, to finish at 101.89 points. Market liquidity was fairly high with total trading volume at nearly 254 million shares, worth VND6.6 trillion.

By Nhung Nguyen – Translated by Thuy Doan

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