Gold price “evaporated” nearly half a million dong

Opening session on the morning of May 3, Saigon Jewelry Company listed gold price SJC in Hanoi market was at 69.2 – 69.97 million dong/tael (buy in – sell out), down 450,000 dong/tael in the buying afternoon and 400,000 dong/tael in the selling afternoon compared to the end of the session. past (2/5).

The price of gold jewelry, 24K gold rings of all kinds plunged even more sharply, when the business adjusted to 54.6 million dong/tael bought, 55.5 million dong/tael sold, lost up to 600,000 dong/tael .

At Bao Tin Minh Chau Co., Ltd., the price of SJC gold bar was also adjusted down by 40,000 VND/tael in the buying direction and 30,000 VND/tael in the selling side. Currently, gold price is trading at 69.36 – 70.03 million VND/tael (buy in – sell out).

Meanwhile, at DOJI Jewelry Group Joint Stock Company, the price of SJC gold traded at 69.55 – 70.25 million VND/tael (buy in – sell out), unchanged compared to the closing session. previous translation.

Gold price in the world fell to the lowest level in more than 2 months

According to experts’ predictions, in the short and medium term, gold remains around the $1,900 mark per ounce. (Photo: AP)

In the international market, in the early morning session of May 3 (Vietnam time), the price of gold fell more than 1% to the lowest level in 2.5 months as investors prepared for a hike in interest rates. large interest rate of the US Federal Reserve (FED).

Accordingly, the price of gold for June futures fell by $42.5 to $1,869.40. Spot gold listed at Kitco traded at 1,963.6 USD/ounce, down 34.6 USD compared to the previous day.

Spot gold price at 6am this morning on Kitco traded at 1,863 USD/ounce, equivalent to 51.63 million VND/tael. Converted at the free USD exchange rate without taxes, world gold is cheaper than domestic by more than 18 million dong/tael.

Recently, the precious metal has been strongly impacted by the US Dollar Index and strong bond yields, boosted by expectations that the Fed will raise interest rates by 50 basis points at its meeting in the middle of this week.

Speculation related to a possible rate hike to curb rising inflation has helped strengthen the dollar and boost bond yields, but have dampened gold’s appeal.

In the early morning session of May 3, the US Dollar Index rose to near a 20-year high reached last week. The yield on 10-year US Treasuries is now at 2.99%, the highest level in nearly 3.5 years.

Investors are waiting for the results of the meeting of the Federal Open Market Committee (FOMC), the policy-making body of the Fed. The meeting begins on Tuesday (May 3) and ends on Wednesday afternoon (May 4). Currently, the market believes that the FED will raise the main US interest rate by 0.5 percentage points, in the context of the highest inflation in 40 years, after having increased by 0.25 percentage points in March 2022.

Bjorn Goosen, an analyst from S&P Global Market Intelligence, predicts that the gold market in the near future will be affected by three factors: war in Ukraine, high inflation, and central banks simultaneously raising interest rates. .

According to Mr. Goosen, in the short and medium term, gold remains around the $1,900 mark per ounce because of geopolitical and macroeconomic uncertainties. However, the gold price will gradually decrease to $1,825/ounce by the end of the year when interest rates rise and the dollar strengthens.

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