Gold surges slightly in Vietnam

Price of gold in Vietnam surged slightly on July 3 as global price edged up at the trading session this morning.

Price of gold in Vietnam surged slightly on July 3 as global price edged up at the trading session this morning (Photo: U. Phuong)

Saigon Jewelry Company, the biggest gold processer and trader in Vietnam, bought gold at VND41.81 million, and sold at VND41.96 million in HCMC; and VND41.98 million in Hanoi and the central city of Da Nang at 10.00am Vietnamese time.

Sacombank quoted price at VND41.89 million for buying and VND41.93 million for selling at 10.30am Vietnamese time.

Hanoi-based   Bao Tin Minh Chau Jewelry Company quoted price at VND41.89 million for buying, and at VND41.95 million for selling at 10.53am Vietnamese time.

Internationally, gold may gain as manufacturing in the U.S. trailed estimates, boosting prospects of further stimulus by the Federal Reserve to spur growth and increase demand for bullion as a haven.

Spot gold was at $1,599.03 an ounce by 10.37am in Singapore, making small change at $1,597.10 yesterday. August-delivery bullion changed little at $1,599.20 an ounce on the Comex in New York, after dropping 0.4 percent yesterday.

Spot silver changed little at $27.5275 an ounce, after swinging between gains and losses. Cash platinum dropped as much as 0.6 percent to $1,446.50 an ounce, and stuck at $1,452.50. Palladium fell for a second day, declining as much as 0.6 percent to $574.75 an ounce, before trading at $575.75.

U.S. manufacturing shrank in June for the first time in nearly three years, adding to signs of a slowdown in recovery but raising hopes for more easing from the Fed.

The disappointing U.S. data followed a string of weak manufacturing data from Europe and Asia, suggesting the eurozone debt crisis was reverberating throughout the global economy.

Indian demand also retreated this year when jewelers went on strike in March and April after the government raised taxes on imports. Import of gold during the second half of 2012 will be around 300 tons and the whole year total may drop by 30 percent compared to a year ago, said Prithviraj Kothari, president of the Bombay Bullion Association.

Prithviraj Kothari predicts purchase power of gold will decrease in July as demand of gold for weddings and festivals will be down and only go up in August.

By Uyen Phuong

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