Gold tumbles drastically

Price of gold in Vietnam fell sharply over the previous day on March 14 as global price tumbled 1.5 per cent at the trading session in New York last night as Fed did not mention another quantitative easing package in its policy meeting.

Sacombank Jewellery Company bought gold at VND44.42 million and sold at VND44.57 million as of 10am Vietnamese time.

Saigon Jewellery Company, Vietnam’s biggest gold processer and trader, collected the metal at VND44.43 million and sold at VND44.58 million as of 10.42am Vietnamese time.

Hanoi-based Phu Quy Jewellery Company purchased SJC-brand gold at VND44.49 million and sold at VND44.59 million as of 10.50am Vietnamese time.

Bao Tin Minh Chau Jewellery Company quoted price at VND43 million for buying, and at VND43.3 million for selling at 11.05am Vietnamese time.

Domestically, gold fetched nearly VND2.5 million a tael, higher than global price as local gold failed to fully reflect losing pace of global price. Since the beginning of the first quarter this year, domestic gold price usually rose or dropped at a slower pace than global price because local gold market was subdued and did not show buy or sell tendency clearly. Thus, the gap between domestic and global gold prices is often widened when global price declines and narrows when global price climbs.

On free market, dollars stalled at VND20,810 per dollar for buying, and at VND20,830 per dollar for selling, unchanged from previous day.

Vietcombank also continued to purchase the greenback at VND20,810 per dollar, and sell at VND20,870 per dollar.

Internationally, gold fell by nearly 2 per cent after the US Federal Reserve on Tuesday gave few signals about the prospect of further monetary easing, offering just a slight upgrade to its economic outlook while restating concerns about the high level of unemployment.

Gold for immediate delivery fell as much as $25.7 an ounce to close at $1,676.1 an ounce in New York. Earlier, the heavy metal plunged to $1,660 an ounce.

In Asia, the heavy metal recovered slightly due to bargain hunting this morning. Spot gold rose $0.8 an ounce to trade at $1,676.9 an ounce at 10.30am Vietnamese time.

The euro exchange rate against the US dollar was below $1.31 a euro in Tokyo this morning from $1.32 a euro the previous day. The greenback strengthened after Fed vowed to keep interest rates at a record low until 2014.

Crude oil futures for April delivery cut $0.1 a barrel to trade at $106.61 a barrel on the New York Mercantile Exchange at 10.30am Vietnamese time.

By Thuy Doan

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