Gold treads water

Price of gold in Vietnam hovered below VND42.1 million a tael (1.2 ounces) on July 31 as global price stood still ahead of the US Federal Reserve and European Central Bank meetings.

Saigon Jewelry Company, Vietnam’s biggest gold processer and trader, bought the metal at VND41.95 million and sold at VND42.1 million as of 8.55am Vietnamese time.

In Hanoi, Saigon Jewelry Company purchased gold at VND41.95 million and sold at VND42.12 million as of 9am Vietnamese time.

Bao Tin Minh Chau Jewelry Company quoted price at VND40.5 million for buying, and at VND40.8 million for selling at 11.30am Vietnamese time.

Domestically, gold fetched VND1.2 million a tael higher than global price.

When the metal surpassed VND42 million a tael and hit a three-week high, most investors increased selling gold to take in profits.

On free market, the US dollar was bought at VND20,865 per dollar, and sold at VND20,885 per dollar, a drop of VND5 per dollar over previous day.

Meanwhile, Vietcombank quoted the rate at VND20,850 per dollar for buying, and at VND20,885 per dollar for selling, unchanged as of the previous day.

Eximbank purchased dollars at VND20,830 per dollar, and sold at VND20,900 per dollar, up VND10 per dollar in selling price over the previous day.

Internationally, gold recovered slightly at the trading session in Asia this morning after edging down at the trading session in New York last night.

Experts said that gold is likely to hold steady as investors anxiously wait for the US Federal Reserve’s policy meeting later in the day which is expected to shed light on the bank’s stance on further monetary easing, a key factor driving the precious metal prices.

In Asia, gold for immediate delivery surged $2.3 an ounce to trade at $1,625.2 an ounce at 9am Vietnamese time.

Last night, gold fell $1.7 an ounce to close at $1,622.9 an ounce in New York.

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

Crude oil futures for September delivery rose $0.09 a barrel to trade at $89.86 a barrel at 9.20am Vietnamese time.

By Thuy Doan

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