Gold drops slightly

Price of gold in Vietnam retreated by VND100,000 a tael (1.2 ounces) over the previous day on July 18 as global price declined due to the US Federal Reserve chairman’s hesitation on further monetary stimulus.

Saigon Jewelry Company, Vietnam’s biggest gold processer and trader, bought the metal at VND41.62 million and sold at VND41.77 million as of 11.05am Vietnamese time.

Hanoi-based Phu Quy Jewelry Company purchased SJC-brand gold at VND41.7 million and sold at VND41.78 million as of 11.10am Vietnamese time.

Bao Tin Minh Chau Jewelry Company quoted price at VND40.25 million for buying, and at VND40.55 million for selling at 11.30am Vietnamese time.

Domestically, gold fetched VND2 million a tael higher than global price.

On free market, the US dollar was bought at VND20,860 per dollar, and sold at VND20,880 per dollar, a drop of VND10 per dollar over the previous day.

Meanwhile, Vietcombank quoted the rate at VND20,835 per dollar for buying, and at VND20,865 per dollar for selling, down VND5 per dollar from the previous day.

Eximbank purchased dollars at VND20,820 per dollar, and sold at VND20,870 per dollar, unchanged from the previous day.

Internationally, gold went down as Fed chairman Bernanke did not hint at new stimulus measures, disappointing investors. The metal also dropped as a survey showed that German analyst and investor sentiment fell for a third consecutive month in July, providing further evidence that the euro zone crisis is taking its toll on morale in Europe's largest economy.

In Asia, gold for immediate delivery slid $0.7 an ounce to trade at $1,582.7 an ounce at 10.05am Vietnamese time.

Last night, spot gold lost $6.2 an ounce, or 0.4 percent, to close at $1,583.4 an ounce in New York.

Euro exchange rate against the US dollar dropped to below $1.23 a Euro in Tokyo this morning.

Crude oil futures for August delivery lost $0.4 a barrel, or 0.5 percent, to trade at $88.82 a barrel at 10.10am Vietnamese time.

By Thuy Doan

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