Gold trades below VND41.4 million

Price of gold in Vietnam fell by more than VND500,000 a tael (1.2 ounces) over the previous day, on May 23, after global price lost 1.5 per cent as expectation of a positive result for the EU summit meeting later in the day waned.

Saigon Jewellery Company, Vietnam’s biggest gold processer and trader, bought the metal at VND41.7 million and sold at VND41.37 million as of 11.13am Vietnamese time.

Hanoi-based Phu Quy Jewellery Company purchased SJC-brand gold at VND41.24 million and sold at VND41.4 million as of 11.19am Vietnamese time.

Bao Tin Minh Chau Jewellery Company quoted price at VND40 million for buying, and VND40.3 million for selling at 12.10pm Vietnamese time.

Domestically, gold fetched VND2.2 million a tael, higher than global price.

Trading on bullion market remained sluggish as investors were waiting for the metal to decline further to buy in.

On free market, dollars were bought at VND20,860 per dollar, and sold at VND20,880 per dollar, a decrease of VND30 per dollar over the previous day.

Vietcombank still bought the greenback at VND20,820 per dollar, and sold at VND20,870 per dollar. 

Internationally, gold declined continuously as investors became skeptical that the European Union summit meeting later in the day would produce solution to help solve the region’s sovereign debt crisis as France is expected to promote a mutual European debt while Germany remains firmly opposed to the idea.

Gold for immediate delivery fell as much as $24.1 an ounce to close at $1,569.3 an ounce in New York.

In Asia, the heavy metal sank $8.9 an ounce to trade at $1,560.4 an ounce at 9.30am Vietnamese time.

The US Dollar Index, a basket of six major currencies which tracks the greenback’s strength, was standing near a four-month high as concerns that Greece would leave the eurozone urged investors to seek the greenback as a safe haven.

Euro exchange rate against the US dollar was at just above $1.26 a Euro in Tokyo this morning from $1.28 a Euro the previous day.

Crude oil futures for June delivery traded at $91.66 a barrel at 9.35am Vietnamese time.

By Thuy Doan

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