On the night of December 10 (Vietnam time), the world spot gold price stood at 1,466 USD/ounce.

Today's gold price is 14.3% higher (183 USD/ounce) than at the beginning of 2019. World gold converted to USD bank price is 40.6 million VND/tael, excluding tax and fees, 850 thousand VND lower than domestic gold.

World gold prices continued to rise from the bottom of last weekend amid strong selling by investors on Asian, European and US stock markets ahead of a week full of important moments.

Gold price increased sharply today. Photo: Internet

In the Asian stock market, cautious sentiment still prevails. Investors are concerned about the US-China trade negotiations as the new round of US tariffs on Chinese goods is less than a week away. Meanwhile, the negotiations have not made any concrete progress, apart from positive statements from both sides.

What many people are most concerned about is that the December 15 deadline is approaching, but US President Donald Trump has not yet canceled his plan to impose tariffs on $160 billion worth of Chinese goods.

Gold prices also increased before the US Federal Reserve (Fed) made a decision on monetary policy in its last meeting of the year on December 10-11.

These are two events that will have a very strong impact on the market.

If the Fed signals tightening monetary policy and considers raising interest rates, gold prices could fall. On the contrary, gold could resume its upward trend.

At this week's meeting, the Fed is expected to keep interest rates at 1.50 - 1.75%. Representatives of the US central bank have emphasized keeping interest rates steady unless the economic outlook worsens.

As for the trade war, if the US and China cannot reach any agreement and tariffs continue, gold is expected to increase sharply as investors will return to seek safe assets.

China has just recorded its highest inflation rate in nearly eight years. Inflation in November rose to 4.5% year-on-year, higher than the 3.8% increase in October and the fastest increase since January 2012, due to rising food prices since the outbreak of African swine fever in August 2018. Food prices alone increased 19% year-on-year in November, while October increased 15.5%.

Meanwhile, the US economy is forecast to slow to 1.8% in 2020, compared with the forecast of 2.3% in 2019 and 2.9% in 2019.

In the domestic gold market, at the end of the session on December 10, most gold shops increased the price of 9999 gold by 10-20 thousand VND in both buying and selling prices compared to the previous session.

As of the end of the trading session on December 10, several large domestic gold and silver corporations listed the price of SJC gold at: 41.26 million VND/tael (buy) and 41.41 million VND/tael (sell).