As Tet approaches, gold prices in Nghe An province are rising sharply.

In the first 10 days of 2025, gold prices continuously increased. As of January 10th, the price of gold had risen by more than 2 million VND/ounce compared to the previous month. Specifically, gold bars from various brands are being bought at 84.5 million VND and sold at 86 million VND/ounce. At this price, SJC gold bars are 3.4 million VND/ounce higher than the international gold price.

For SJC 9999 gold rings, the listed price is 84.5 million VND/ounce for buying and 85.8 million VND/ounce for selling, an increase of 500,000 VND in both directions compared to January 9th.

In Nghe An province, the gold prices on the morning of January 10th were listed as follows: gold rings ranged from 84.5-85 million VND/ounce (buying price) and 86.45-87.0 million VND/ounce (selling price); gold bars are not yet publicly listed. Compared to domestic gold prices, gold prices in Nghe An are listed 500,000-700,000 VND/ounce higher in the selling price; therefore, the buy-sell spread has also widened to 1.7-2 million VND/ounce.

Unlike previous years, when the gold market was usually bustling leading up to Tet (Lunar New Year), this year, even though it's already the 11th day of the 12th lunar month, the gold market in Nghe An is quite quiet. At times, gold shops are crowded, but mostly people are checking prices, and transactions are sporadic. These transactions mainly involve the purchase of individual wedding rings and gifts.

Ms. Nguyen Thanh Vinh, an employee at a gold shop on Cao Thang Street (Vinh City), said: "Gold prices have increased sharply in the first days of 2025. However, purchasing power is weak. We only sell retail to those who need to buy wedding gold or jewelry."

According to Ms. Vinh's explanation, the reason for the low demand for gold is that gold prices have been fluctuating erratically recently, rising sharply as Tet approaches, while the economy is struggling and most people lack the money to accumulate assets. On the other hand, the real estate market is heating up again at the end of the year, with many people with idle capital looking to invest in houses and land.

"Buying gold at the end of the year is usually done by people who have remittances sent home from overseas; or by workers who have received Tet bonuses. This year, with the general economic difficulties, workers abroad don't have abundant funds, and many agencies and businesses have cut salaries and bonuses. With limited funds, they don't choose gold as an investment channel," said Ms. Nguyen Kim Oanh, owner of a gold shop in Do Luong town (Do Luong district).

The buying activity is also not as vibrant as in previous years. Although many gold investors have made a profit compared to a few months ago, very few people are selling gold to take profits at this time. Analysis suggests that people expect gold prices to continue rising; meanwhile, business is difficult and sluggish, so many small traders don't need capital to stockpile goods, and therefore, they are not selling gold to raise capital for their businesses.

Mr. Trinh Minh Thanh, a small-scale food trader in Dung town (Thanh Chuong district), said: “Every year, about a month before Tet, I would have to sell my gold to get cash to stock up on Tet goods, sometimes with capital reaching billions of dong. This year, business is slow, so I'm only stocking a moderate amount of goods; I haven't needed to sell my gold reserves to raise capital yet.”

Gold shop owners say that while they have prepared products to serve the market before and after Tet (Lunar New Year), the quantity is not as large as in previous years. They hope that the gold market will pick up in the days leading up to Tet.

Despite weak purchasing power and low consumer demand, gold prices have surged. What's the reason? Experts explain that the scarcity of raw materials for gold production has led many businesses to operate at a reduced capacity or temporarily cease operations. Therefore, to have products to sell during Tet (Lunar New Year), some businesses import gold figurines of the God of Wealth or Italian gold necklaces. However, these products often fail to meet seasonal demand and consumer preferences, making them difficult to sell.

Furthermore, importing gold products from abroad for consumption incurs high taxes. In addition, domestic gold prices are affected by supply shortages as well as fluctuations in world prices. The price of SJC gold bars is currently controlled by the State Bank of Vietnam, while the price of gold rings follows supply and demand in the market, so the price of gold rings is currently on a strong upward trend.

According to forecasts, gold prices will continue to rise in 2025, although the pace may be slower than in previous years.