Expert: It is very dangerous to buy gold at this time.

Many experts advise customers not to buy gold at this time because the price is at its peak and there is a risk of a reversal when the market is tightly controlled.

According to expert Tran Duy Phuong, buying or investing in gold at this time is extremely dangerous and carries many potential risks.

The first risk is that the domestic gold price is much higher than the world gold price, up to about 20 million VND/tael.

The second risk is that world gold prices are also at their peak and will likely correct. “The gold price has increased too high and too fast, so there will definitely be a downward adjustment. This will cause domestic prices to reverse as well,” Mr. Phuong predicted.

The third risk is that the Government and the State Bank will have strict control to ensure the gold market is safe, healthy, effective, sustainable, and absolutely not let gold price fluctuations affect the stability and safety of the financial and monetary markets, and macroeconomic stability. This will directly impact the gold price in the coming time.

Experts advise customers not to buy gold at this time because the price is at its peak and could reverse. (Illustration photo).

“In the coming time, Decree 232 of the Government will impact the gold market. Especially the Prime Minister 's direction in directing inspections and audits to rectify the gold market, preventing speculation if any. The above factors will cause the gold price in late September and early October to drop sharply. Therefore, investing in gold at this time is very risky,” Mr. Phuong said.

Mr. Phuong also said that people rushing to buy gold will not only affect individuals when prices reverse and fall, but also impact the macro economy if investors pay any price to buy gold.

“ Instead of using cash flow to invest in production, business, and job creation, people are pouring it into gold, which will negatively affect the sustainable development of the economy. In addition, the wave of buying gold at high prices will affect the exchange rate, causing inflation to increase, and consumer goods to increase as well, ” said Mr. Phuong.

Sharing the same view, Mr. Nguyen Quang Huy - CEO of the Faculty of Finance and Banking at Nguyen Trai University - said that currently, the gold price is at a historical high, reflecting the global instability and the need for safe haven assets. However, when the market has increased too strongly, buying at this time is more likely to pose risks than opportunities. People need to be very alert, because gold does not always guarantee profits, especially when bought at peak prices.

"The first risk is the possibility of short-term adjustments. Historically, gold has not increased continuously but has had sharp declines after reaching its peak. If bought at a high price, buyers may lose money as soon as the market cools down. In addition, the difference between domestic buying and selling prices is often quite large, causing gold buyers to suffer immediate losses if they sell." Mr. Huy said.

In addition, crowd psychology is also a significant risk. When seeing gold increase, many people rush to put money in for fear of missing out. But if the price reverses, they sell off, leading to heavy losses. Putting most of their assets into gold during the "hot wave" phase can put a lot of pressure on personal finances.

Mr. Huy also warned that by spending all their capital on buying gold, people can easily miss out on more stable investment channels such as savings, bonds or production and business.

In this context, Mr. Huy recommends that gold should be viewed as a long-term storage channel, not a "surfing" tool. Therefore, only a reasonable portion, about 10% of assets, should be allocated to gold for defense, instead of "going all in".

Mr. Huy also emphasized that the Government and management agencies will have timely solutions to regulate supply and demand, stabilize the gold market, and limit unusual fluctuations. Reasonable intervention will contribute to protecting people's rights, minimizing risks and maintaining macroeconomic stability, which means that gold prices will drop sharply to their true value.

" In short, high gold prices do not mean a sure win. This can also be a high-risk area. People need to be cautious, allocate capital reasonably, and believe that with timely regulatory solutions, the market will gradually stabilize ," experts recommended.

The State Bank Region II branch also warned about the phenomenon of people still lining up to buy gold despite the continuous increase in gold prices.

" To strengthen gold market management, limit risks and prevent law violations, and eliminate non-market factors affecting the domestic gold market, the State Bank Branch Region 2 recommends that people and businesses only buy and sell gold bars at licensed banks and businesses.

Gold, as a volatile financial asset, is closely linked to many market factors. People need to consider and be cautious when buying gold to avoid risks due to price fluctuations. This contributes significantly to market stability, limiting speculation, price manipulation and unnecessary psychological impacts, affecting the interests of the economy. This unit warns.

On September 8, the Government Office issued Document No. 8390 conveying the direction of Permanent Deputy Prime Minister Nguyen Hoa Binh on the recent gold market situation.

Accordingly, implementing the Prime Minister's direction, the Permanent Deputy Prime Minister assigned the Government Inspectorate to preside over and coordinate with the Ministry of Industry and Trade, the Ministry of Finance, the Ministry of Public Security and the State Bank to urgently establish an inspection team on September 9 to conduct an inspection of the compliance with policies and laws of credit institutions and enterprises in gold trading activities, anti-money laundering, the creation and use of invoices and documents related to gold trading activities and other related issues.

In case of detecting signs of law violation during the inspection process, immediately transfer information and records to the police agency.

The Permanent Deputy Prime Minister assigned the State Bank to periodically report to the Prime Minister and the Permanent Deputy Prime Minister on developments in the gold market before 11:00 a.m. every Friday.

Source: https://baolangson.vn/chuyen-gia-rat-nguy-hiem-neu-mua-vang-luc-nay-5058324.html