Gold ring price "gallops", the world "tiptoes" up, difficulties not over yet

Gold price today, September 21, 2023, continued to increase sharply at some domestic gold brands, maintaining above 69 million VND/tael.

LIVE UPDATE TABLE OF GOLD PRICE TODAY 9/21 AND EXCHANGE RATE TODAY 9/21

[WIDGET_GOLD_RATE:::PNJ:]

Domestic gold prices continue to increase sharply in some gold brands, remaining above the 69 million VND/tael mark.

Specifically, at the end of the trading session on September 20, the price of SJC gold in Hanoi and Ho Chi Minh City was traded at 68.5 million VND/tael for buying and 69.22 million VND/tael for selling.

Domestic gold prices are trading at a record high since the beginning of the year. Not only SJC, the price of gold rings also suddenly “galloped” to a record of 58 million VND/tael.

Compared to the end of August, the price of gold rings has increased by about 1.2 million VND/tael, equivalent to an increase of 2.2%. Compared to the beginning of the year, the price of gold rings has increased by about 4.5 million VND/tael, equivalent to an increase of 8.5%. Taking advantage of this opportunity, many people have sold gold to make a profit.

A representative of the Bao Tin Manh Hai brand said that the number of customers coming to stores in this system has increased significantly. According to preliminary statistics, by about 4:00 p.m. on September 19, the number of customers increased by about 30% compared to the previous day. According to this person, the reason for the increase in the number of customers coming to trade is because the price of gold has increased, so they have the mentality of selling to take profit.

World gold prices , in contrast to the domestic market, were quite quiet as they awaited information related to the US Federal Reserve’s monetary policy meeting. Both bulls and bears were cautious before hearing the Fed’s monetary policy stance in the coming time.

Currently, most predict that the Federal Open Market Committee (FOMC), the Fed's policy-setting body, will support US monetary policy and not raise interest rates at this meeting.

According to TG&VN at 7:30 p.m. on September 20, the world gold price on the Kitco exchange was at 1,933 - 1,934 USD/ounce, up 2.1 USD compared to the previous trading session.

Giá vàng đã giảm sâu nhiều phiên gần đây. (Nguồn: SCMP)

Gold ring prices have skyrocketed in recent sessions. (Source: SCMP)

Summary of SJC gold prices at major domestic trading brands at the closing time of September 20:

Saigon Jewelry Company listed the price of SJC gold at 68.45 - 69.17 million VND/tael.

Doji Group currently lists the price of SJC gold at: 68.60 - 69.40 million VND/tael.

Phu Quy Group currently lists the price of SJC gold at: 68.55 - 69.25 million VND/tael.

PNJ system listed at: 68.60 - 69.30 million VND/tael.

SJC gold price at Bao Tin Minh Chau is listed at: 68.57 - 69.18 million VND/tael; Rong Thang Long gold brand is traded at 57.28 - 58.18 million VND/tael; jewelry gold price is traded at 56.80 - 57.90 million VND/tael.

World gold price forecast

Market research firm NAB Commodities Research said the Fed’s tone is likely to be “tougher” thanks to stronger-than-expected US consumer price index (CPI) and producer price index (PPI) data released last week. This development will bring downside risks to gold prices.

Spot gold may retreat within a narrow range of $1,917-$1,921 an ounce as the precious metal failed to break the resistance zone of $1,933-$1,935 an ounce, according to Reuters technical analyst Wang Tao.

Gold will struggle to break above $1,980 an ounce ahead of the Fed meeting, said Colin Cieszynski, chief market strategist at SIA Wealth Management.

While gold is expected to be stuck in the near term, Cieszynski said the long-term bullish outlook for the precious metal remains intact. “Central banks are having trouble. Wage inflation continues to rise. The inflation problem is not going away and that is bullish for gold,” he said.

Meanwhile, Everett Millman, precious metals expert at Gainesville Coins, said that gold’s recovery shows its potential. He noted that with the Fed’s monetary policy and the current US dollar, gold should be at least below $1,900 an ounce.

“The weak health of the global economy continues to support gold prices. There are some factors to keep gold prices above $1,900, but not enough to push gold prices higher,” he said.

Looking at the long term, analysts at Capital Economics recently forecast that gold is likely to fall to $1,800/ounce by the end of this year, as the US economy continues to grow and inflationary pressures ease.

Capital Economics forecasts further declines in demand for the precious metal, “as investor appetite for gold as a hedge against a severe recession and high inflation wanes.”

In a quarterly update, France-based bank Société Générale lowered its gold holdings as part of its multi-asset portfolio strategy (MAPS).

The bank held a core 6% position in gold throughout the first half of 2023. However, entering the fourth quarter, the bank's position fell to 5% of the portfolio.

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