Gold snaps two days of decline as dollar retreats

Bullion price in Vietnam rose by VND40,000 a tael (1.2 ounces) from the previous day on August 19 as the global price slightly recovered last night.

Gold was bought at VND21.15 million (US$1,143) and sold at around VND21.20 million ($1,146) at most gold shops.

As the metal continued to hover around the VND21 million mark, investors kept their cautious attitude toward the precious metal.

Meanwhile, trading volume was fairly high at gold exchanges.

On the SBJ trading floor, nearly 319,000 taels were traded at VND20.08-20.22 million by 9:45am local time.

Selling took the upper hand over buying on the ACB trading floor, with more than 42,000 taels changing hand by the same tine.

Globally, the metal slightly gained, snapping a two-day decline as the US dollar lost its appeal against other currencies.

Spot gold advanced as much as $4.9, 0.5 percent, more than the closing price of the previous session, to close at $939.1 an ounce on the New York Mercantile Exchange.

In Asia, spot bullion climbed to above $940 an ounce this morning.

The greenback slumped 0.4 percent against the euro, drawing the dollar exchange rate to above $1.41, as information about the US’s real estate market was not as optimistic as expected.

The US Ministry of Trade yesterday announced that the number of new houses built last month fell by one percent to 581,000 from the forecast level of 600,000.

Wholesale prices in the US dropped by 0.9 percent in July, more than forecast, after rising by 1.8 percent in June, the US Department of Labor announced the same day.

The US’s producer price index slid by 6.8 percent year on year, it said.

The rebound of the US’s stock markets last night sent crude oil price to nearly $70 a barrel.

In New York, the oil price for September delivery gained as much as $2.68 a barrel to close at $69.19 a barrel.

Compiled by Thuy Doan

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