Gold is under pressure, price drops deeply

Early on May 15 (Vietnam time), world gold price stood at 1,812 – 1,813 USD/ounce, down 9.3 USD compared to the previous session.

The price of gold futures trading in June 2022 on the Comex New York floor also fell by $16.4 to $1,808.2 per ounce.

According to Kitco, in the 24 hours of trading before closing the last session of the week, the world gold price traded at the lowest at 1,798 USD/ounce and the highest recorded at 1,829 USD/ounce.

Statistical data show that the price of precious metals in the last 30 days fell 8.35%, equivalent to a loss of 165 USD per ounce. In the past 6 months, the world gold price decreased by 2.84%, causing each ounce to “fly” 54 USD.

Last week, the gold price in the international market continuously dropped and then recovered in the context of the USD skyrocketing. Analysts believe that the pressure from the strong increase of the USD after the US Federal Reserve (Fed) adjusted interest rates, causing gold prices to go down. On the market, USD price surged to a 20-year high on concerns that tighter monetary policies to curb inflation would hurt the economy. economy Global.

Domestically, closing the last session of the week, Saigon Jewelry Company listed the price of SJC gold at 68.80 – 69.80 million VND/tael (buy in – sell out).

Doji Group listed the gold price at 68.70 – 69.40 million VND/tael (buy in – sell out).

At Eximbank, the price of gold is listed at 68.7 – 69.8 million dong/tael (buy in – sell out).

Commenting on gold prices next week, Mr. Fawad Razaqzada, market analyst at City Index, thinks that safe-haven money pouring into USD is weighing on gold.

“Gold hasn’t had any support at a time like this, when you would expect haven demand to be strong. We’ve seen a lot of support broken, which discourages traders. short-term translation”, Mr. Razaqzada added.

According to strategists at TD Securities, the sell-off is underway, which could create a liquidity gap, hurting gold prices in the near-term. The fact that the Fed announced in advance all views on interest rates made investors constantly adjust their portfolios.

Analysts say that the gold market is in a dangerous area when the price is getting closer and closer to the $1,800 mark per ounce. Gold is under pressure as the dollar index soars to a 20-year high, reaching 104.8 points. A price around $1,800 an ounce could put gold at greater risk of a sell-off.