Gold retreats in Vietnam

Price of gold in Vietnam fell by VND1.2 million a tael (1.2 ounces), going below VND47 million a tael, after hitting a year high on October 4 following global trend.

Price of gold in Vietnam falls by VND1.2 million a tael (1.2 ounces), going below VND47 million a tael, after hitting a year high on October 4 following global trend (Photo: U. Phuong)

Saigon Jewelry Company, Vietnam’s biggest gold processer and trader, bought the metal at VND46.61 million and sold at VND46.81 million as of 11.30am Vietnamese time.

Hanoi-based Phu Quy Jewelry purchased SJC-brand gold at VND46.55 million and sold at VND46.73 million at the same time.

Local gold prices are VND3.3 million a tael higher than their world counterparts, following the official exchange rate of Vietcombank.

On free market, the US dollar was bought at VND20,850 per dollar, and sold at VND20,880 per dollar. Vietcombank quoted the rate at VND20,830 per dollar for buying, and at VND20,870 per dollar for selling, while Eximbank purchased dollars at VND20,830 per dollar, and sold at VND20,870 per dollar.

Internationally, on the Comex division of the New York Mercantile Exchange, gold futures for December delivery traded at US$1,738.75 a troy ounce during U.S. afternoon trade, tumbling 1.19 percent.

Gold prices often move inversely to the U.S. dollar, as gold becomes more expensive for buyers using other currencies.

Prices came under further pressure after breaking below key support levels close to the $1,739-level, triggering fresh sell orders amid bearish chart signals.

The precious metal could see further losses in the near future after having failed to break above the key $1,800-level earlier in the month.

Elsewhere, silver for December delivery plunged 2.67 percent to trade at $32.77 a troy ounce, while copper for December delivery fell 0.17 percent to trade at $3.697 a pound.

By Uyen Phuong

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