Gold rebounds as US outlook boosts dollar slump

Gold in Vietnam surged by VND100,000 a tael January 14 over the previous day as global prices rebounded from the biggest loss in three weeks.

Most gold shops bought at VND26.95 million and sold at VND27.05 million.

On the bullion market, trading remained muted as prices hadn’t advanced out of the VND27 million range.

Gloom also reigned on gold exchanges with trading volumes moving downwards due to investors’ final settlements.

Trading volume on the SBJ trading floor was at 1,000 taels, and 6,600 taels on the ACB trading floor by 10:35 am this morning.

The US Dollar Index, which tracks the greenback’s strength against a basket of six major currencies, fell as a Federal Reserve officer reaffirmed speculation that the FED would hold low benchmark rates for an extended period.

Experts said high pressure of debasement would continue to impose on the greenback as other economies, including Australia and China, had recovered faster than the US.

The dollar exchange rate stood above US$1.45 a euro in Tokyo this morning.

Spot gold rose as much as $9.3 an ounce, 0.8 percent, to $1,138.1 in New York.

In Asia, the metal continued to surge to $1,143-1,145 an ounce this morning.

Crude oil futures for February delivery fell 1.4 percent to close at $79.65 a barrel, the lowest level since the beginning of this year, on the New York Mercantile Exchange.

Oil recovered slightly in Asian markets this morning but failed to touch $80 a barrel again.

Compiled by Thuy Doan

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