Not increasing shockingly like world gold, SJC gold is at a record "cheap" price

SJC gold is a record "cheap" compared to world gold

For a long time, the price of SJC gold has often increased faster than the world gold price, causing the gap between the two markets to widen to a record high of more than 15 million VND/tael. The most common difference is 14 million VND/tael.

However, this weekend, the opposite is happening. Despite the world gold price rising sharply and heading towards the 2,000 USD/ounce mark, the SJC gold price only increased slightly, so the gap between the two prices was shortened to a record low in recent months of 12.32 million VND/tael.

However, this is still a very high difference, which can bring many risks to investors. According to banking and finance expert Nguyen Tri Hieu, the gap between the two markets reaching 2 million VND/tael is the most reasonable.

Specifically, in the early hours of October 21, jewelry stores adjusted the price of SJC gold to increase slightly and regain the mark of 71 million VND/tael for selling.

No shock like world gold, SJC gold, record price, picture 1 — While the world gold price increased dramatically, heading towards the 2,000 USD/ounce mark, the SJC gold price only increased slightly, causing the gap between the two prices to a record "cheap" level in recent months. Illustrative photo

Phu Nhuan Jewelry Company – PNJ is listing the price of SJC gold at: 70.20 million VND/tael – 71.10 million VND/tael, an increase of 100,000 VND/tael compared to the end of yesterday. The price of SJC gold at Saigon Jewelry Company – SJC is traded at: 70.25 million VND/tael – 71.05 million VND/tael.

At Bao Tin Minh Chau Jewelry Company, SJC gold price is traded at: 70.25 million VND/tael - 71 million VND/tael, keeping the buying price unchanged and increasing 30,000 VND/tael for selling price. This is a very modest increase.

The price of gold rings continues to increase hotter than SJC gold. In Phu Nhuan, the price of PNJ gold continues to surpass the record high of 59 million VND/tael when it is bought and sold at: 58.10 million VND/tael - 59.30 million VND/tael.

Meanwhile, at Bao Tin Minh Chau, the price of Thang Long dragon gold is traded at a much lower level: 57.93 million VND/tael - 58.93 million VND/tael.

World gold is about to reach the 2,000 USD/ounce mark

Domestic gold prices only increased slightly even though world gold prices continued to break out and were on their way to setting new records.

In the final session of this week, world gold prices continued to rise, inching closer to the important psychological level of $2,000/ounce, as concerns about further escalation in the conflict in the Middle East boosted bullion's safe-haven appeal.

Spot gold rose nearly 0.4% to $1,980.79 an ounce, after hitting its highest since May earlier in the session. U.S. gold futures rose 0.6% to $1,992.60.

“People are rushing into gold and finding safety from geopolitical risks,” said Phillip Streible, chief market strategist at Blue Line Futures in Chicago, who said that if the conflict in the Middle East escalates, gold prices will surpass $2,000.

Gold is up 2.9% this week and has added nearly $160 since the conflict began.

Technically, Ole Hansen, head of commodity strategy at Saxo Bank, said gold prices could move higher and eventually challenge resistance around $2,075, a nominal record high from 2020.

Traders also took in comments from Federal Reserve Chairman Jerome Powell on Thursday, who left open the possibility of more rate hikes - which would increase the opportunity cost of holding zero-yielding bullion - but also noted emerging risks and the need for caution.

In the physical market, gold dealers in India were forced to offer steeper discounts as soaring domestic prices slowed demand ahead of a key festival.

Silver rose 1.4% to $23.36 an ounce, while platinum rose 0.5% to $895.45. Both were set for a second straight weekly gain.

Palladium fell 1.01% to $1,102.32, but was on track for a fourth straight weekly decline.

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