Gold rockets to VND47 million

The price of gold in Vietnam regained VND2.1 million a tael (1.2 ounces) over the previous day on August 26 as global price slowed down losing momentum amid investors are cautious ahead of the speech of the US Federal Reserve chairman Ben Bernanke tonight.

Saigon Jewelry Company, the biggest gold shop in Vietnam, bought gold at VND46.5 million and sold at VND46.9 million at 2:30 pm local time in Ho Chi Minh City. In Hanoi, the metal was bought at VND46.5 million and sold at VND46.92 million.

Sacombank Jewelry Company quoted the price at VND46.61 million for buying and VND46.89 million for selling.

Hanoi-based Phu Quy Jewelry Company purchased SJC-brand gold at VND46.4 million and sold at VND47.1 million at the same time.

On foreign currency market, the central bank pinned the inter-bank US dollar exchange rate at VND20,628 for three consecutive days. Vietcombank also kept buying the greenback at VND20,830 and selling at VND20,834.

Meanwhile, the dollar exchange rate on free market continued climbing. Some agencies announced the rate at VND21,020 for buying, and VND21,100 for selling, an increase of VND30 per dollar in buying price and VND20 per dollar in selling price over the previous day.

Internationally, gold strongly recovered as slumping global equities due to unexpectedly increased jobless claims restored the appeal of the precious metal as a safe-haven.

Jobless claims suddenly climbed by 5,000 to 417,000 in the week ended August 20, Labor Department figures showed yesterday.

Gold for immediate delivery surged as much as $7.6 an ounce to close at $1,759.5 an ounce on the Comex in New York.

Gold futures for December settlement bounded $5.9 an ounce to close at $1,763.2 an ounce after plunging to $1,705 an ounce.

The yellow metal has advanced 2.4 percent this year, and is heading to $2,000 an ounce amid a weakened global economic growth and lingering sovereign-debt crisis in Europe.

In Asia, spot gold was traded at $1,771.9 an ounce at 2:30 pm Vietnamese time.

Fed Chairman Ben Bernanke is scheduled to speak at the annual Fed symposium in Jackson Hole today amid speculation he will announce a third round of asset purchases, or quantitative easing.

By Vinh Nghi

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