Gold in Vietnam saw a sluggish rise in the last three days as compared to the global price rise.
Saigon Jewelry Holding Company (SJC) sold at VND 36,130,000 per tael on February 14, an increase of VND140, 000 compared to last week. Despite its gain the gold business is forecast to have an upward trend due to the hike in foreign exchange rates and psychological factors.
The above prediction however, is contrary to what gold experts believed that because most enterprises imported gold with foreign currency bought from the free market at a higher rate than banks, they presumed that the increase in foreign exchange rate would not affect gold prices in Vietnam.
Meanwhile import commodities have also seen a price increase. Confectionery, food and dairy businesses are gearing up to raise their prices. According to Tran Huu Duc, the public relations manager of Nutifood, the appreciation on the dollar and the hike in the electricity rates would trigger a price rise in dairy products by over 9 percent.
Nutifood still maintains the same prices in order to stabilize its market share; however as a cost cutting measure it has not spent on further advertising for now, but intends to raise product prices in future.
The foreign exchange rate hike has led to a rise in prices of electronic items like laptops, cell phones and cameras.