International gold price increases vertically, reaching historical peak

Surpassing the threshold of 3,400 USD/ounce, the international gold price did not face any adjustment pressure but continued to increase strongly, exceeding the forecast and the expectations of investors and speculators when this precious metal passed the level of 3,433 USD/ounce.

The reason why the world gold price today set an all-time record is because the USD has fallen sharply. The USD Index is still below the 100 point threshold, down to 98 points. In addition, the gold price continues to be supported by the demand for risk prevention in the context of the still tense trade war. Last week, Japan was the first country to start trade negotiations with the US but no agreement has been reached.

In particular, the precious metal gold is being supported by rising prices due to trade tensions between the US and China. Previously, on April 2, US President Donald Trump announced reciprocal tariffs on goods from dozens of countries. Although his administration has temporarily postponed tariffs on some countries, it has also increased trade tensions with China.

International gold price reached a historical peak of 3,433 USD/ounce, increased by more than 100 USD after just 1 week and increased by more than 1,100 USD/ounce after just 1 year.

China has warned other countries against reaching broader economic deals with the US if they harm Beijing’s interests – a move seen as a response to Mr Trump’s efforts to lobby countries for tariff exemptions.

In addition, US President Donald Trump's tensions with US Federal Reserve Chairman Jerome Powell have escalated tensions between the White House and the world's most powerful central bank, creating new uncertainty around US monetary policy after President Donald Trump announced plans to reform the Fed. Mr. Powell said last week that the US central bank has no intention of cutting USD interest rates in the near future, citing inflationary pressures and economic uncertainties caused by new tariffs.

The uncertainty of Mr. Trump’s tariff policy is one of the factors supporting gold prices at the moment. US President Donald Trump’s wide-ranging tax policy and the instability that has caused turmoil in global markets have overshadowed the economic outlook of the world’s largest economy. This has caused investors to withdraw capital from US assets.

Analysts say that if the current situation continues, it will lead to the risk of an economic recession. This has a positive impact on gold prices. Because gold is always considered a safe haven when trade wars escalate, geopolitical tensions and economic recession.

Risk-off sentiment, reflected in a slump in the stock market, is also boosting the precious metal. So despite its recent surge, forecasts suggest that the precious metal’s price prospects are not over. Citi Research raised its three-month gold price target to $3,500 an ounce from $3,200 an ounce, driven by increased purchases by Chinese insurance companies and safe-haven flows amid tariff risks and market weakness.

Meanwhile, Goldman Sachs also predicted that the price of gold could reach $4,000/ounce, and some other financial institutions predicted that the price could reach over $3,500/ounce if economic instability increases, and this has been proven in recent practice. In the past 30 days, the world gold price has increased by $378/ounce, equivalent to more than 12.5%, bringing the total increase over the past year to more than $1,100/ounce, equivalent to 42.2%. The gold market is witnessing a sharp increase in price, bringing the precious metal to a historical high.

Converted according to the exchange rate listed at the bank, the world gold price is currently equivalent to about 110 million VND/tael. However, the current price of SJC gold bars is still about 8 million VND/tael higher than the international price. If the international gold price increased rapidly in the days of last week, the domestic price of SJC gold bars would have increased rapidly. However, due to the heat of international gold yesterday, the price of SJC gold bars after setting the price at the beginning of the day at 116-118 million VND/tael (buy-sell) remained unchanged until the end of the day.

But there is a current situation in the market that gold shops are trying to keep gold from being sold before the Government and the State Bank of Vietnam's move to re-control the gold market, due to the sharp increase in the price of this precious metal in recent days. In particular, many gold shops have refused to meet customers' demand, with the reason being that there is no more supply of SJC gold bars.

Previously, the Government Office issued Document No. 3332/VPCP-KTTH dated April 18, 2025, conveying the direction of Deputy Prime Minister Ho Duc Phoc on the domestic gold price developments. Considering the Government Office's quick report on the situation and developments of domestic gold prices on April 18, 2025, Deputy Prime Minister Ho Duc Phoc directed: The State Bank shall preside over and coordinate with relevant agencies to closely monitor the situation and developments of the domestic and international financial, monetary, foreign exchange, and gold markets to promptly implement solutions as prescribed to stabilize the gold market.

At the same time, further strengthen inspection, examination and strict handling of violations according to regulations, prevent profiteering, manipulation, price fixing, speculation... in the gold market in accordance with the direction of the Government leaders in Official Dispatch No. 1483/VPCP-KTTH dated April 4, 2025; proactively implement information and communication measures to stabilize social psychology.

Regarding gold market management, the State Bank said it has submitted a report to the Prime Minister proposing the development of a Decree amending and supplementing Decree No. 24/2012/ND-CP dated April 3, 2012 on the management of gold trading activities.

Source: https://baodautu.vn/gia-vang-quoc-te-tang-thang-dung-lap-dinh-lich-su-d271269.html