At the end of the trading session on October 1, the domestic price of SJC 9999 gold bars was listed by SJC and Doji Gold and Gemstone Group in Hanoi and Ho Chi Minh City at VND82-84 million/tael (buy - sell), an increase of VND500,000 compared to the previous session.

This is an unexpected development because the world gold price has been decreasing since the end of last week and the beginning of this week. Along with that, the domestic gold ring price has slightly decreased from its historical peak, from 83.45 million VND/tael (selling) to about 83 million VND/tael (selling).

Saigon Jewelry Company Limited (SJC) listed the price of gold rings of type 1-5 at only 81.4-82.9 million VND/tael (buy - sell). Doji listed the price of 9999 smooth round gold rings at 81.9-82.9 million VND/tael (buy - sell).

At 8:00 p.m. on October 1 (Vietnam time), the spot price of gold today on the world market was at 2,666 USD/ounce. Gold for December 2024 delivery on the Comex New York floor was at 2,688 USD/ounce.

The world gold price on the night of October 1 was about 29.2% higher (603 USD/ounce) than at the beginning of 2024. The world gold price converted to the bank USD price was VND 80.4 million/tael, including taxes and fees, about VND 3.6 million/tael lower than the domestic gold price as of the end of the afternoon session on October 1.

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SJC gold bar price up to 84 million VND/tael. Photo: MH

Israel has carried out repeated strikes on Hezbollah in Lebanon in the past week, claiming to have “eliminated” much of Hezbollah’s leadership, including longtime Hezbollah leader Nasrallah. However, a ground attack as recently announced could risk spreading instability in the Middle East.

The world gold price increased quite quickly again thanks to the bottom-fishing demand for this commodity after gold fell from its peak of 2,685 USD/ounce to 2,625 USD/ounce in the trading session on September 30.

Investors believe gold is still in an uptrend, at least until mid-2025, when the US Federal Reserve (Fed) signals about two more interest rate cuts in the rest of 2024 and a few more in 2025 and 2026.

Therefore, every time the gold price adjusts sharply downward, bottom-fishing demand appears, thereby pushing the price of this commodity up again. However, the driving force for gold is no longer as great as before.

Gold Price Forecast

In a Kitco survey, Wall Street experts were evenly split on whether they expected gold prices to rise or fall this week.

Many observers believe that demand for gold in China may decline after the government has rushed to introduce a series of measures to rescue the economy , including the real estate market. Money flows unexpectedly to Chinese stocks.

Gold was also under pressure from the USD, which suddenly strengthened in the session on October 1, as a series of other countries attempted to pump money into supporting the economy.

The DXY index (measuring the USD's volatility against a basket of six major currencies) rose back to 101.2 points on the evening of October 1 (Vietnam time), compared to 100.36 points on September 25, but was still lower than the 103 points in mid-August and the 106.25 points in late April.

Gold is still being boosted by escalating geopolitical tensions in the Middle East. Signs show that Israel has a clear advantage in the region. And it is very possible that the situation in the Middle East will cool down after a heated period.

Gold prices plummet: Will buyers have to hold on for a decade to break even? World gold prices are falling sharply after reaching a historic peak of $2,685/ounce. Domestic gold ring prices hit a record high, close to SJC gold bars. Many people rushing to buy gold now, will they have to hold on for 9 years to break even like in the 2012-2020 period?