A person holds gold jewelry at a shop in Ho Chi Minh City. Photo by Read/Quynh Tran
Vietnam gold prices fell Thursday morning to the lowest since March 23, amid a decline of the precious metal on global markets.
Saigon Jewelry Company gold bar dropped 0.47% to VND169.2 million (US$6,426.13) per tael. A tael equals 37.5 grams or 1.2 ounces.
Gold ring fell 0.47% to VND169 million per tael. Gold prices in Vietnam have risen 10.7% so far this year.
Globally gold fell in choppy trade on Thursday as elevated oil prices fuelled fears of inflation and prolonged high interest rates, while investors looked for clarity on stalled peace talks between the U.S. and Iran, Reuters reported.
Spot gold was down 0.7% at $4,705.09 per ounce. U.S. gold futures for June delivery fell 0.6% to $4,722.10.
Brent crude oil prices remained above $100 a barrel after larger-than-expected gasoline and distillate stock draws in the U.S., and over a lack of progress on the peace talks.
“The sight of Brent oil back at triple digits is keeping inflation worries at the forefront, and is putting gold on the back foot today,” said Tim Waterer, chief market analyst at KCM Trade.
Higher crude oil prices can stoke inflation by raising transportation and production costs, increasing the likelihood of higher interest rates.
Comments are closed.