World gold price plummets, domestic SJC increases by nearly half a million VND/tael

Domestic gold increased sharply

In the first session of August 1, the price of 9999 gold bars at SJC Ho Chi Minh City was 66.7 million VND/tael (buy) and 67.3 million VND/tael (sell). SJC Hanoi listed at 66.7 million VND/tael (buy) and 67.32 million VND/tael (sell).

Doji Hanoi listed at 66.55 million VND/tael (buy) and 67.25 million VND/tael (sell). Doji Ho Chi Minh City bought SJC gold at 66.65 million VND/tael and sold at 67.15 million VND/tael.

From August 2-6, domestic gold prices remained almost unchanged at around VND66.6 million/tael (buy) and VND67.32 million/tael (sell). In the following sessions, gold prices increased slightly by about VND100,000/tael.

At the end of the trading session on August 19, the price of 9999 gold bars at SJC Ho Chi Minh City was 67 million VND/tael (buy) and 67.7 million VND/tael (sell). SJC Hanoi listed at 67 million VND/tael (buy) and 67.72 million VND/tael (sell).

Doji Hanoi listed at 66.95 million VND/tael (buy) and 67.75 million VND/tael (sell). Doji Ho Chi Minh City bought SJC gold at 67.05 million VND/tael and sold at 67.65 million VND/tael.

Since the beginning of the month, gold price at SJC increased by 400,000 VND/tael, while at Doji it increased by 500,000 VND/tael.

World gold prices plummet

On August 1, the world spot gold price stood at around $1,962/ounce. The price of gold futures for December delivery on the Comex New York floor was at $2,000.9/ounce. According to Stuart O'Reilly, a market analyst, persistently high inflation or signs that the economy may fall into recession will cause some investors to increase their allocation to gold as a "safe haven".

After that, the world gold price adjusted down due to the USD recovering after the White House objected to Fitch's downgrade of the US credit rating. The government disagreed with Fitch Ratings' downgrade of the US credit rating and affirmed that the US economy is recovering strongly. On August 3, the world spot gold price stood around 1,936.6 USD/ounce.

On August 10, world gold prices plummeted. Spot world gold prices stood at around 1,915.6 USD/ounce. The downward cycle continued.

In the session of August 14, the world gold price was trading at 1,911.3 USD/ounce. The price of gold futures for December delivery on the Comex New York floor was at 1,942.6 USD/ounce. The precious metal still faces many challenges, especially when short-term bond yields continue to be around 5%.

In the session of August 15, the world gold price continued to decrease to 1,906 USD/ounce. Interest rates did not decrease, causing investors to continue to withdraw capital from gold and shift to other areas such as bonds and stocks. Therefore, the gold price is likely to continue to decrease in the short term.

On August 17, the world gold price lost the 1,900 USD/ounce mark. The world spot gold price stood around 1,892.2 USD/ounce. The December gold futures price on the Comex New York floor was at 1,922.8 USD/ounce.

World gold prices were almost flat in the session on August 18. The USD on the international market has skyrocketed in the past few days in the context of the US Federal Reserve (Fed) maintaining a tight monetary policy. Meanwhile, many Asian countries are accelerating monetary easing to revive the economy.

At the end of the week, the spot gold price on Kitco on August 19 (at 8:00 p.m., Vietnam time) was trading at $1,889/ounce. Weekly, the world gold price decreased by 1.4%.

Trading in the market has fallen sharply, investors are worried. The world's largest gold exchange-traded fund SPDR Gold Trust has reduced its gold reserves to the lowest level since January 2020.

Gold Price Forecast

Analysts note that the precious metal still faces some difficulties as economic data does not provide solid evidence that the Fed may be more hawkish on monetary policy. Many experts expect the gold market to “take off” early next year when the Fed is likely to cut interest rates.

Many forecasts suggest that the USD will continue to rise in the short term. Gold prices may continue to be under downward pressure throughout the rest of the summer.

In the short term, gold is expected to soon return to the threshold of 1,950 USD/ounce after the USD loses support from positive information from the US economy.

Gold price today August 20: Gold price drops sharply, lowest in 5 months Gold price today August 20 on the world market dropped to a 5-month low in the context of China's economic difficulties and strong fluctuations in the financial market.

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