Vietnam’s gold prices gained Monday morning despite a drop in global bullion rates.
Saigon Jewelry Company gold bar price rose 0.36% to VND166.6 million (US$6,325.35) per tael.
Gold ring price similarly went up to VND166.1 million per tael. A tael equals 37.5 grams or 1.2 ounces.
Globally, gold prices nudged lower in thin trade on Monday, weighed down by inflation worries that clouded the U.S. monetary policy outlook, while markets awaited developments in U.S.-Iran peace negotiations, Reuters reported.
Spot gold was down 0.2% at $4,605.19 per ounce. U.S. gold futures for June delivery fell 0.6% to $4,616.30. Markets in China, Japan and the UK are closed for holidays.
“Gold is still feeling the lingering effects of last week’s hawkish Fed messaging, particularly the notable dissenting voices pushing back against further easing,” said Tim Waterer, chief market analyst at KCM Trade.
A person holds gold jewelry at a store in Ho Chi Minh City. Photo by Read/Quynh Tran |
Oil prices eased but held above $100 a barrel, with the lack of clarity around a potential U.S.-Iran peace deal remaining in focus.
Increasing oil prices could encourage central banks to hold interest rates higher for longer, which would pressure non-yielding assets such as gold as investors turn to alternate options like Treasury yields that offer better returns.
“We see gold largely trading in a $4,400-$5,500 range by year-end. The upper end of that range would require a durable reduction in Middle East tensions and some easing of inflation pressures, while persistent high oil prices would keep the metal toward the lower half of the range.”
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