Reasons why investors suffered heavy losses last week.

Today's SJC gold price

Updated domestic gold prices at the close of trading on March 17, 2024.

Domestic SJC gold price trends. Unit: Million VND/ounce. Chart: Khuong Duy

Last week, SJC gold prices adjusted slightly downwards; however, the excessively high buy-sell spread resulted in heavy losses for investors.

If an investor bought gold at DOJI Group on March 10th at 81.95 million VND/ounce and sold it today (March 17th), they would lose 2.55 million VND/ounce. Meanwhile, those who bought gold at Saigon Jewelry Company (SJC) would also lose 2.8 million VND/ounce.

The current difference between the buying and selling price of gold is listed around 2.5 million VND per tael. This difference is considered very high. Investors face the risk of losses when investing in the short term.

Price of 9999 gold rings

At the close of trading this week, the price of plain gold rings was listed by Phu Nhuan Jewelry (PNJ) at 67.7-68.8 million VND/ounce (buying price - selling price).

Bao Tin Minh Chau listed gold at 68.13-69.38 million VND/ounce (buy-sell). Meanwhile, Saigon Gold, Silver and Gemstone listed it at 67.6-68.8 million VND/ounce (buy-sell).

World gold prices

World gold price trends. Unit: USD/ounce. Chart: Khuong Duy

World gold prices remained stable amid little change in the US dollar index. At 9:00 PM on March 15th, the US Dollar Index, which measures the fluctuations of the greenback against six major currencies, stood at 103.060 points (up 0.68%).

Gold price forecast

Kitco News' latest weekly gold survey shows that the optimistic sentiment among market experts last week has largely vanished.

This week, 11 analysts participated in Kitco News' Gold Survey. Nearly three-quarters of Wall Street respondents predicted gold prices would fall or trend sideways. Only 27% predicted higher gold prices next week. Another 27% predicted a narrow increase. The largest proportion, 46%, predicted a decline in the price of the precious metal.

Meanwhile, 194 votes were cast in Kitco's online polls, with the majority of Main Street investors still predicting further gains in gold prices next week.

One hundred and twenty-one retail traders (56%) expect gold to rise next week. Another fifty (29%) predict lower prices. Meanwhile, thirty respondents (15%) hold a neutral view on the short-term outlook for gold.

Darin Newsom, senior market analyst at Barchart.com, predicts that gold prices will continue to fall for another week.

In a similar view, Ole Hansen, head of commodity strategy at Saxo Bank, maintains his forecast that gold prices will fall ahead of the US central bank meeting.

He said: "After a week of higher-than-expected US CPI and PPI figures, the market assumed the Fed would delay interest rate cuts."

James Stanley, senior market strategist at Forex.com, said that after all the recent gains, gold is poised for a bearish week. He stated, “With the breakout and stalling at $2,200 an ounce, it looks like gold needs a pullback. With the Fed’s interest rate decision on Wednesday, it makes sense to see some investors taking profits beforehand.”

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