Gold confidentially retreats

The price of gold in Vietnam fell below VND38 million a tael (1.2 ounces) on June 3 as global price significantly dropped this morning.

Sacombank Jewelry Company bought the metal at VND37.88 million and sold at VND37.97 million as of 9:30 am local time.

Saigon Jewelry Company, the biggest gold shop in Vietnam, purchased gold at VND37.92 million and sold at VND37.99 million.

Meanwhile, the Hanoi-based Phu Quy Jewelry bought SJC-brand gold at VND37.88 million and sold at VND37.96 million at the same time.

Yesterday, some gold traders raised the price to nearly VND38.1 million a tael, the highest level in the past 5 weeks. Trading on bullion market improved over the previous days as high prices tempted people to sell gold to take profits.

Domestically, gold fetched around VND350,000 a tael lower than global price.

The dollar exchange rate against the Vietnamese dong at commercial banks recovered this morning. State-owned Vietcombank bought the greenback at VND20,550 and sell at VND20,700, an increase of VND10 per dollar in buying price and VND60 per dollar in selling price over the previous day.

Meanwhile, the interbank US dollar exchange rate continued to shed another VND5 per dollar to trade at a record low of VND20,625.

Internationally, gold gained for a third day in New York as concern about Europe’s debt crisis, signs that the U.S. economy was slowing and a weakening dollar spurred demand for the metal as an alternative investment.

Gold for immediate delivery rose as much as $0.8 an ounce over the previous trading session to settle at $1,545.7 an ounce on the Comex in New York.

In Asia, the precious metal strongly sank this morning. Spot gold gave up $4.1 an ounce over the closing price in New York to trade at $1,541.6 an ounce as of 10 am Vietnamese time.

The US dollar remained at a record low against a basket of major currencies. The euro exchange rate against the US dollar stood just below $1.47 a euro in Tokyo this morning from nearly $1.46 a euro the previous day.

Crude oil futures for July settlement rose as much as $0.08 a barrel to close at $99.09 a barrel on the New York Mercantile.

This morning, crude oil fell to just above $98.6 a barrel as of 11 am Vietnamese time. Crude oil dropped amid speculation that OPEC will increase production quotas at a meeting in Vienna even as the US gasoline demand weakens.

By Mai Tuyet

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