Gold tumbles unexpectedly

Following a drop of nearly 2 per cent in global price, price of gold in Vietnam sank to VND43.6 million a tael (1.2 ounces) on April 4.

Sacombank Jewellery Company bought gold at VND43.45 million and sold at VND43.6 million as of 9.50am Vietnamese time.

Saigon Jewellery Company, Vietnam’s biggest gold processer and trader, collected the metal at VND43.43 million and sold at VND43.63 million as of 10.33am Vietnamese time, the lowest price since March 21.

Hanoi-based Phu Quy Jewellery Company purchased SJC-brand gold at VND43.55 million and sold at VND43.65 million as of 10.50am Vietnamese time.

Bao Tin Minh Chau Jewellery Company quoted price at VND41.75 million for buying, and at VND42.05 million for selling at 11.20am Vietnamese time.

Domestically, gold fetched around VND2.4 million a tael, higher than global price as the former failed to fully reflect losing pace of the latter.

Trading on bullion market was muted with poor buying and selling demand.

On free market, dollars were bought at VND20,810 per dollar, and sold at VND20,830 per dollar, unchanged from the previous day. 

Meanwhile, Vietcombank continued to purchase the greenback at VND20,800 per dollar, and sell at VND20,860 per dollar.

Internationally, gold continually marched south after the US Federal Reserve released minutes of its most recent policy meeting which suggested that policymakers were less eager to launch additional monetary stimulus measures.

Statistics show that new orders for US factory goods rebounded in February and firms increased orders for capital goods, adding to evidence that US economy is on recovery.

Gold for immediate delivery fell as much as $31.2 an ounce, or 1.9 per cent, to close at $1,646.4 an ounce in New York.

In Asia, gold edged up after sell-off but soon resumed losing momentum. Spot gold traded at $1,642.2 an ounce, down $4.6 an ounce at 9.45am Vietnamese time.

The euro exchange rate against the US dollar was below $1.32 a euro in Tokyo this morning.

Crude oil futures for May delivery fell $0.31 a barrel to trade at $103.7 a barrel at 9.55am Vietnamese time.

By Thuy Doan

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