Gold, dollar slip further

Price of gold in Vietnam slipped by VND100,000 a tael (1.2 ounces) on June 20 while global price inched up on hopes that the US Federal Reserve would launch another round of quantitative easing to stimulate the world’s largest economy at its policy meeting today.

Saigon Jewelry Company, Vietnam’s biggest gold processer and trader, bought the metal at VND42.02 million and sold at VND42.22 million as of 10.15am Vietnamese time.

Hanoi-based Phu Quy Jewelry Company purchased SJC-brand gold at VND42.14 million and sold at VND42.24 million as of 10.30am Vietnamese time.

Bao Tin Minh Chau Jewelry Company quoted price at VND40.8 million for buying, and at VND41.1 million for selling at 10.55am Vietnamese time.

Domestically, gold fetched VND1.2-1.3 million a tael, higher than global price.

On free market, the US dollar was bought at VND20,940 per dollar, and sold at VND20,960 per dollar, down VND10 per dollar over the previous day.

Meanwhile, Vietcombank bought the greenback at VND20,920 per dollar, and sold at VND20,970 per dollar, unchanged from the previous day. Eximbank purchased dollars at VND20,910, and sold at VND20,960 per dollar, a decrease of VND10 per dollar over the previous day.

Internationally, investors are eyeing a policy meeting of the US Federal Reserve on expectations that after a trail of disappointing data indicating sluggish US economic growth, the Fed will start another stimulus package to boost growth. The current "Operation Twist" program, which involves buying long-term debt and funding the purchase by selling short-term notes, is scheduled to expire this month.

In Asia, spot gold climbed $2.3 an ounce to trade at $1,621.3 an ounce at 10am Vietnamese time.

Last night, gold for immediate delivery fell as much as $10.8 an ounce, or 0.7 percent, to close at $1,618.9 an ounce in New York.

Euro exchange rate against the US dollar was at nearly $1.27 a Euro in Tokyo this morning.

Crude oil futures for July delivery slid $0.15 a barrel to trade at $83.88 a barrel at 10.10am Vietnamese time.

By Thuy Doan

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