The buyer still lost 1.6 million.

Công Luận•27/12/2023

Gold prices surge, regaining the 80 million VND/ounce mark.

December 26th was a historic trading day for the domestic gold market. At the beginning of the session, the price of SJC gold surged wildly, increasing by nearly 2 million VND per tael and reaching a new all-time high of 80.30 million VND per tael. However, by the afternoon, the precious metal plummeted to near 79 million VND per tael.

At the opening of trading this morning, the market was relatively quiet with a gain of 200,000 VND/ounce. However, from over 9 am, the price of SJC gold continuously fluctuated on the electronic trading board. By 9:40 am, the price of SJC gold officially reached the 80 million VND/ounce mark, only 300,000 VND/ounce away from its all-time high.

Doji Group was the first gold dealer to raise its selling price to 80 million VND/ounce, an increase of 800,000 VND/ounce compared to the end of yesterday. The buying price was 78.50 million VND/ounce, an increase of 1.3 million VND/ounce, equivalent to 1.3%. With the buying price significantly higher than the selling price, the gap between the two prices narrowed to 1.5 million VND/ounce from 2 million VND yesterday afternoon.

Gold prices surged, rediscovering the 80 million VND mark, but buyers still lost 16 million VND (Figure 1). — After yesterday's wild fluctuations, the price of SJC gold surged again this morning, reaching the 80 million VND/ounce mark. However, buyers are still losing 1.6 million VND/ounce. (Illustrative image)

Subsequently, Saigon Jewelry Company (SJC) also adjusted its selling price, increasing it by 800,000 VND/ounce to 80 million VND/ounce. The buying price of SJC gold at SJC is 78.30 million VND/ounce. Thus, the difference between the selling and buying prices at SJC is as much as 1.7 million VND/ounce.

Following Doji Group and SJC Company, Bao Tin Minh Chau Gold and Gemstone Company has also reached the 80 million VND/ounce mark. The price of SJC gold at Bao Tin Minh Chau is currently listed at: 78.35 million VND/ounce – 80 million VND/ounce.

Despite the latest adjustments, Phu Nhuan Jewelry Company (PNJ) currently has the highest selling price for SJC gold, reaching 80.10 million VND/ounce. The buying price is 78.30 million VND/ounce. At PNJ, the difference between the selling and buying price is the highest in the market, at 1.8 million VND/ounce.

Non-SJC gold prices also reached new records. At Bao Tin Minh Chau, Thang Long gold was traded at: 63.33 million VND/ounce - 64.38 million VND/ounce. PNJ gold at PNJ Company was traded at: 62.75 million VND/ounce – 63.85 million VND/ounce.

Buyers are still losing 1.6 million VND per tael.

Besides the fact that SJC gold prices rise or fall too sharply, at this time, one of the factors that can cause a lot of risk for investors, as emphasized by many experts, is the large difference between the selling and buying prices, and the large difference between SJC gold prices and domestic gold prices.

Specifically, yesterday afternoon, one of the most notable points was the widening gap between the buying and selling prices of gold. While the difference was 1 million VND/ounce at the beginning of the morning on December 26th, by the end of the day, this figure had jumped to 2 million VND/ounce. Therefore, even though the price of gold "only" decreased by 1 million VND/ounce, buyers still lost 3 million VND/ounce.

By the morning of December 27th, although this gap was not maintained at the record high of 2 million VND/ounce, it was still very large, ranging from 1.45 million VND/ounce to 1.8 million VND/ounce. Therefore, even though the price of SJC gold is increasing from 800,000 VND/ounce to 1.3 million VND/ounce, investors are still losing approximately 1.6 million VND/ounce.

Meanwhile, as mentioned above, the price of SJC gold increased by 1.3%, but the world gold price only edged up very slightly.

Last night, in the US market, gold prices fluctuated slowly, supported by a weaker US dollar and lower Treasury bond yields due to expectations that the Federal Reserve will cut interest rates next year.

Spot gold prices rose 0.3% to $2,058.17 per ounce after touching a more than two-week high of $2,070.39 in the previous session. US gold futures were little changed at $2,069.4.

At the world gold price of $2,058.17 per ounce, the converted price of SJC gold is approximately VND 61.53 million per tael. Thus, SJC gold is currently VND 18.57 million per tael more expensive than the world gold price. This is a record high difference in 2023. Meanwhile, non-SJC gold is VND 2.85 million per tael more expensive than the world gold price.

With the difference between the buying and selling price of SJC gold and the difference between domestic and international gold prices at record highs, experts advise investors against buying gold at this time due to the numerous risks involved.

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