Jewelers raise buying price to boost selling

Most jewelers in Vietnam raised the buying price for gold by VND10,000-20,000 a tael (1.2 ounces) on September 14 to boost selling, while the global gold price was poised on US$1,000 an ounce despite profit-taking by investors in Asia.

The metal was bought at above VND22.02 million and sold at VND22.1 million at most gold shops.

Gold traders said trading volume on the bullion market last weekend was rather muted.

It seemed like customers got used to the high price above VND22 million. They were waiting for the next movements of the metal instead of being hasty to trade, a representative of the Hanoi-based gold dealer, Bao Tin Minh Chau, said.

Gold may make a sharp correction in near future.

Sacombank Jewelry said the reasonable price for investors to buy heavily was at VND21.8 million.

On gold exchanges, the prices continued to fluctuate above VND21 million.

On the ACB trading floor, nearly 35,000 taels changed hands at VND21.46 to 21.59 million by 10:21am local time.

On the SBJ trading floor, matching volume reached 214,350 taels at VND21.50 to VND21.73 million by 8:50am local time.

Globally, gold snapped two days of rallies as the US Dollar Index rose by 0.4 percent and crude oil dropped.

In Asia, spot gold slid $2 an ounce to $1,004 an ounce by 9:50am Vietnamese time. Earlier, the metal touched $1,008 an ounce but quickly fell as investors sold gold to take profits.

The greenback slightly recovered against the euro, ending six days of decline, however, it remained pinned just above $1.45.

Crude oil futures for October settlement fell as much as $0.87 a barrel to close at $68.42 a barrel.

Compiled by Thuy Doan

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