Vietnam Gold Prices Reach Four-Week High on Global Surge
Vietnam's gold market saw prices hit a four-week peak on Thursday, driven by a global surge. Saigon Jewelry Company gold bars rose 2.66% to VND146.5 million per tael.
Domestic Market Rebounds
Vietnam's gold prices reached a four-week peak on Thursday, reacting to a global market surge from the previous session. Saigon Jewelry Company (SJC) gold bars increased by 2.66%, trading at VND146.5 million (US$5,600.05) per tael. Gold rings also saw a 0.68% rise, reaching VND147.5 million per tael. A tael is equivalent to 37.5 grams or 1.2 ounces. Despite this recent uplift, Vietnam's gold prices have declined 4.12% since the start of this year.
Global Factors and Expert Views
Globally, gold prices saw a 0.75% dip on Thursday, settling at $4,488.30 per ounce. This followed a significant surge on Wednesday, which pushed global prices to their highest in over 2.5 months.
Robert Gottlieb, former head of precious metals at Koch Supply and Trading, described Wednesday's jump as "totally unexpected." He noted it was "very bullish for gold," driven by lower yields on longer-dated Treasuries and a potential weaker dollar. Reuters reported his comments.
Investment Flow Outlook
TD Securities analysts suggest that while the initial strong buying interest has softened, gold investment flows could quickly return. This potential return is linked to Treasury liquidity support and the US Federal Reserve's willingness to overlook an energy price shock.
A growing narrative of stagflation (economic stagnation combined with high inflation) also supports these flows. Such factors should ultimately lead to lower real interest rates.
For Asian investors, Vietnam's gold market shows a short-term rebound against a backdrop of annual losses. The immediate upward price movement reflects global sentiment rather than domestic drivers. Continued global shifts in Treasury yields and the US dollar will influence local gold prices. Investors should monitor these macroeconomic factors for any sustained recovery in Vietnam's gold market.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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