Gold price today June 22: SJC gold "cools down", international gold price drops sharply

(NLDO) - Forecasting the trend next week, gold prices are becoming unpredictable according to many analysts.

Domestic gold prices recorded a downward adjustment on the weekend of June 22. Specifically, SJC gold bars were commonly listed by businesses at VND117.7 million per tael for buying and VND119.7 million per tael for selling, down about VND600,000 per tael compared to the end of last week.

Meanwhile, 99.99% gold rings and jewelry gold prices remained stable, fluctuating around VND113.7 million/tael for buying and VND116.2 million/tael for selling.

The contrast between gold bars and gold rings at the end of the week shows that the factors governing the gold market today are no longer simply supply and demand but are being influenced by new policy signals.

It is expected that in the near future, the gold market will have a major change in structure when the monopoly mechanism for SJC gold bars is eliminated, and at the same time, more banks and businesses will be allowed to participate in the market.

This move is said to aim to reduce the difference between domestic and international gold prices, stabilize the market and limit speculation.

Gold price today is forecast to be difficult to break out in the international market

A notable development this week was that the gap between the buying and selling prices of SJC gold bars suddenly narrowed to only about 2 million VND/tael, instead of the common level of 3 to 3.5 million VND/tael as before.

The reduction in this gap shows that speculative sentiment is cooling down, and also reflects market expectations for a more transparent mechanism where gold prices will approach international prices instead of being pushed too high due to technical scarcity.

The free market, which usually has higher prices than large enterprises, this week recorded prices equivalent to those of large companies. Some gold shops quoted SJC gold bars at around VND118.5 million/tael for buying and VND119.7 million/tael for selling – almost no difference compared to prices at companies such as SJC, PNJ or DOJI .

This is a rather surprising phenomenon, reflecting the effect of tightening market management and seemingly signaling a period of "reconstruction" of the gold market towards greater openness, transparency and closer to real value.

Meanwhile, in the international market, the price of gold fell sharply last week, losing more than 60 USD/ounce, from 3,400 USD/ounce to 3,369 USD/ounce. The adjustment is equivalent to about 1.9 million VND per converted tael, showing selling pressure in the global market in the context of a lack of positive supporting information.

The decline in international gold prices has made investors more cautious about the short-term trend of precious metals.

Gold prices last week in the domestic market fluctuated around 119-120 million VND.

Kitco ’s survey found that analysts are divided on the direction of gold prices. Of the Wall Street experts, only 38% think gold prices will rise next week, while 31% predict further declines and the remaining 31% see prices remaining flat.

For individual investors, the optimism rate is higher as 54% believe gold prices will increase, but 46% still remain cautious or lean towards a sideways or downward trend.

The geopolitical situation, especially the tension between Israel and Iran, is not strong enough to create a boost for gold prices, although this has often been a strong supporting factor in the past. If positive information about the resolution of the conflict is released, the world gold price may continue to adjust to the 3,300 USD/ounce mark, even breaking through the 3,265 USD/ounce mark.

Currently, if converted according to the domestic exchange rate, the world gold price is equivalent to about 106.7 million VND/tael, which is nearly 13 million VND/tael lower than the price of SJC gold bars.

Source: https://nld.com.vn/gia-vang-hom-nay-22-6-vang-sjc-ha-nhiet-vang-quoc-te-giam-sau-196250622085940609.htm