SJC gold buyers lost 1.6 million VND/tael

Buying at the "peak", investors lost 1.6 million VND/tael

This week, the domestic gold market witnessed a sharp increase in gold prices, reaching a record high. The selling price of SJC gold reached 74.60 million VND/tael. After that, the precious metal quickly cooled down. By the end of the week, despite the shocking drop in world gold prices, SJC gold prices remained stable and maintained the 74 million VND/tael mark, but those who bought gold at the "peak" lost 1.6 million VND/tael.

Specifically, on December 4, at Phu Nhuan Jewelry Company, the selling price of SJC gold climbed to an all-time high of VND74.60 million/tael. And this morning, the listed price was adjusted to: VND73 million/tael - VND74.10 million/tael.

Thus, if buying from the “peak”, investors would have lost 1.6 million VND/tael. At other jewelry stores, the same situation also occurred.

SJC gold buyer spends 16 million dong image 1 — SJC gold price remains stable at 74 million VND/tael, but gold buyers at the "peak" have lost 1.6 million VND/tael. Illustrative photo

During the weekend session, the price of SJC gold at Doji Group was traded at: 73.10 million VND/tael - 74.10 million VND/tael, unchanged from the end of yesterday but down sharply from the level of 74.50 million VND/tael set on December 4. Compared to the end of last week, the gold price increased by 100,000 VND/tael.

Saigon Jewelry Company – SJC and Bao Tin Minh Chau Company listed SJC gold price at: 72.90 million VND/tael – 74.10 million VND/tael and 72.92 million VND/tael – 74.05 million VND/tael.

After 1 week, SJC gold prices at different companies increased by about 100,000 VND/tael, but non-SJC gold prices decreased quite deeply.

At Bao Tin Minh Chau, the price of Thang Long Dragon gold was traded at: 61.28 million VND/tael - 62.38 million VND/tael, down 750,000 VND/tael, equivalent to 1.2%. At PNJ Company, the price of PNJ gold decreased by 1 million VND/tael, equivalent to 1.6% compared to the end of last week.

World gold prices have worst week in 10 years

The domestic gold market is still more optimistic than the world market. After peaking at the beginning of the week, the spot gold price fell 1.3% to $2,002.80 an ounce by the end of the week after hitting a session low of $1,994.49 earlier. The price has fallen 3.4% so far in its worst week in 10 years. US gold futures fell 1.3% to $2,019.1.

Gold fell back below $2,000 an ounce on Friday as the dollar and Treasury yields rallied after traders reduced bets on a U.S. rate cut coming in March following stronger-than-expected jobs data.

US job growth accelerated in November while the unemployment rate fell to 3.7%, signaling underlying strength in the labor market that has traders betting the Federal Reserve may not deliver the first of a series of interest rate cuts next year until May.

“Gold fell as the US jobs report showed the overall strength of the economy ,” said Tai Wong, an independent metals trader based in New York.

“The low close, $150 below Sunday’s all-time high, has changed the narrative for the Fed meeting. Now, gold investors are hoping for a friendly outcome from the Fed that will prevent a deeper correction, if not a pullback,” commented Tai Wong.

The dollar index rose 0.7% for the week, making bullion more expensive for foreign buyers, while 10-year Treasury yields recovered from three-month lows.

Traders are awaiting updated interest rate forecasts for next year from the Fed's policy meeting on December 12-13.

“With so much easing already priced into the market, both silver and gold will continue to see periods where confidence may be challenged,” Ole Hansen, head of commodity strategy at Saxo Bank, said in a weekly report.

Physical gold dealers in India raised discounts to a seven-month high this week to attract buyers as record domestic prices dampened demand. Next week will be a key test for the gold market, some analysts say, as a hawkish Fed could put downward pressure on an already sensitive market after Monday’s price decline.

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