Gold on losing trend

The price of gold in Vietnam fell below VND35 million a tael (1.2 ounces) on November 16 as global prices continued to extend its losing trend.

Gold was bought at VND34.8 million and sold at VND34.9 million, a decrease of VND250,000-300,000 over the previous day, as of 9:15 am local time at most gold shops.

Sacombank Jewelry Co. bought the metal at VND34.81million and sold at VND34.87 million.

Saigon Jewelry Co. fixed the prices at VND34.81 million for buying and VND34.88 million for selling.

Meanwhile, Hanoi-based Phu Quy Jewelry bought SJC-brand gold at VND34.86 million and sold at VND34.96 million.

Bao Tin Minh Chau purchased gold at VND34.82 million and sold at VND34.92 million.

Domestically, gold fetched VND650,000 a tael higher than global prices.

The representatives of some jewelers said that many investors sold gold to book profits recently on speculation that the prices would decline. Meanwhile, buying demand on bullion market was poor.

After losing VND180 per dollar the previous day, the dollar exchange rate on free market in Hanoi stalled this morning. Dollars were bought at VND20,850 and sold at VND20,920.

Internationally, gold dropped as the US dollar strengthened, sapping demand for the precious metal as an alternative asset.

Gold for immediate delivery sank $8.3 an ounce to trade at $1,361.5 an ounce on the Comex in New York. Earlier, the metal some time plunged to $1,355 an ounce.

In Asia, gold continued marching south this morning. Bullion stood around $1,360 an ounce as of 10 am Vietnamese time.

This morning, the euro exchange rate against the greenback was at $1.36 in Tokyo after slumping to the lowest level in the past six weeks the previous day due to concerns over Ireland’s debt crisis.

By Thuy Doan

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