Gold, Bitcoin hit new peak, USD skyrocketed, stocks "collateral damage"?

(NLDO) - The recent rapid increase in the prices of other assets such as gold, Bitcoin, and the USD/VND exchange rate is putting pressure on the sluggish stock market...

At noon on October 28, the price of SJC gold bars was maintained at a high level by SJC Gold Company, buying at 87 million VND/tael and selling at 89 million VND/tael. This is the highest price of SJC gold bars in many months, after increasing by about 13 million VND/tael since the beginning of this year.

The price of 99.99 gold rings also remained at an all-time record, buying at about 87.5 million VND/tael, selling at 88.9 million VND/tael, an increase of 26 million VND compared to the beginning of this year.

Domestic gold prices have been volatile due to the influence of world prices, as precious metals on the international market have continuously set new historical peaks. At 11:45 a.m. (Vietnam time), the world gold price was trading at 1,731 USD/ounce, less than 30 USD per ounce away from the all-time peak of 2,758 USD/ounce.

Bitcoin is also trading at $67,591/coin, surpassing the historical peak of over $65,000 set in November 2021. This is the highest level of this digital currency ever, equivalent to about 1.7 billion VND/coin.

Bitcoin price breaks historical peak of over 65,000 USD/coin set in November 2021

Even the USD/VND exchange rate has increased rapidly in recent weeks. The USD price at commercial banks this morning was bought at 25,194 VND/USD, sold at 25,464 VND/USD, an increase of nearly 700 VND per USD compared to the beginning of the month (+2.8%).

Meanwhile, the Vietnamese stock market alone is still hovering around the 1,250-point mark, disappointing investors. At the end of the trading session on the morning of October 28, the VN-Index stopped at 1,252.35 points, down 0.37 points compared to the previous session; the HNX Index also slightly decreased by 0.29 points to 482.42 points.

Liquidity was sluggish as the trading value on the HOSE floor was only 4,800 billion VND, a sharp decrease compared to yesterday in the context of foreign investors net selling for many consecutive sessions.

Some investors said they were "lazy to trade", even shifting part of their planned capital into stocks to choose savings or buy SJC gold bars, in the context of a sluggish market.

World and domestic gold prices both hit historic peaks

The recent rapid increase in the price of other assets such as gold, Bitcoin, and the USD/VND exchange rate is putting pressure on stocks?

Mr. Bui Van Huy - Director of Ho Chi Minh City branch, DSC Securities Company - said that the US presidential election is approaching, if Mr. Donald Trump is elected, the fluctuations will be very big like what happened in the previous term.

Investors' cautious psychology is understandable and gold and Bitcoin can play a certain role as a safe haven in this case. Particularly, the increase in the value of the USD and the USD/VND exchange rate always has an impact on the stock market.

“The recent surge in gold, Bitcoin and exchange rates has had a clear impact on the flow of money out of the stock market.

When investing in a channel where the market is not favorable or the fluctuation range is narrow, it is easy to create boredom for investors.

On the contrary, with other investment channels increasing in value, it will clearly attract more investor attention, leading to the obvious withdrawal of money from the stock market" - Ms. Nguyen Thi Thao Nhu, Senior Director of Individual Clients, Rong Viet Securities Company, analyzed.

The Vietnamese stock market alone is still hovering around the 1,250 point mark and has failed to surpass the 1,300 point mark many times this year, disappointing investors.

Some other stock experts also believe that the shift has an impact on the stock market, as other investment channels such as cryptocurrency, real estate... are becoming more attractive.

However, if the stock market falls to a reasonable level and the stock price returns to the true value of the business, investors may consider shifting their investments back to the stock market.

"Profits from the stock channel can be better than other assets such as gold, Bitcoin..., especially when these assets have increased sharply and carry many potential risks" - Ms. Thao Nhu said.

Source: https://nld.com.vn/vang-bitcoin-lap-dinh-usd-tang-vot-chung-khoan-va-lay-196241028122721393.htm