Gold continues to climb

Price of gold in Vietnam continued to climb on June 14, following a rise in global price that has maintained for four trading sessions.

Saigon Jewelry Company, Vietnam’s biggest gold processer and trader, bought the metal at VND41.99 million and sold at VND42.19 million as of 10.30am Vietnamese time.

Hanoi-based Phu Quy Jewelry Company purchased SJC-brand gold at VND42.11 million and sold at VND42.22 million as of 10.45am Vietnamese time.

Bao Tin Minh Chau Jewelry Company quoted price at VND40.8 million for buying, and at VND41.1 million for selling at 11am Vietnamese time.

Bullion market remained in muted mood with selling demand taking the upper hand after the heavy metal rose to VND42 million.

Domestically, gold fetched VND1.3 million a tael, higher than global price.

On free market, the US dollar was bought at VND20,960 per dollar, and sold at VND20,990 per dollar, up VND30 per dollar in buying price, and VND40 per dollar in selling price over the previous day.

Meanwhile, the dollar exchange rate declined at commercial banks. Vietcombank bought the greenback at VND20,920 per dollar, and sold at VND20,990 per dollar, down VND10 per dollar from the previous day.

Eximbank purchased dollars at VND20,920, and sold at VND20,980 per dollar.

Internationally, gold advanced the fourth trading session on hopes of another round of monetary easing after data showed that US retail sales fell for a second straight month in May and wholesale prices dropped the most in three years.

However, the European sovereign-debt turmoil remained a threat to the shared currency, bullion, and other risk assets. Moody’s Investors Service yesterday cut Spain’s debt rating by three notches and warned that the newly approved eurozone plan to pump 100 billion Euros to rescue Spanish banks will increase the country’s debt burden.

French President Francois Hollande warned on Wednesday that some countries in Europe would want Greece to be forced out of the eurozone if Greece does not respect its engagement to international creditors after the June 17 election.

In Asia, spot gold slipped $0.8 an ounce to trade at $1,617.8 an ounce at 10am Vietnamese time.

Last night, gold for immediate delivery rose as much as $7.8 an ounce, or 0.5 per cent, to close at $1,618.6 an ounce in New York.

Euro exchange rate against the US dollar was at nearly $1.26 a Euro in Tokyo this morning.

Crude oil futures for July delivery dropped $0.27 a barrel to trade at $82.35 a barrel at 10am Vietnamese time.

By Thuy Doan

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