Gold price skyrockets before God of Wealth day, Nghe An market quiet

Right after the Lunar New Year holiday, many gold and silver businesses in Nghe An reopened for business. Accordingly, gold brands such as SJC, DOJI, PNJ… all adjusted their prices up, especially for plain rings to a high level.

Specifically, at the opening of the trading session on the morning of February 5, the domestic gold price exceeded 90 million VND/tael (selling) for 9999 gold rings and 90.6 million VND/tael (selling) for SJC gold bars.

In Nghe An, the price of gold rings is listed around 91.10 - 91.50 million VND/tael (selling) and 87.50 - 88.30 million VND/tael (buying).

According to records, in the first days of the new year, the gold market in Nghe An was quite quiet, mainly people came to consult prices, buy gold for luck or buy retail.

Ms. Tran Thi Thuan, a resident from Dung town (Thanh Chuong) said: “For many years, after Tet, I have collected the money my children and grandchildren gave me as lucky money and gifts for Tet and have not used it, then I bought gold to store, in case I need it when I get sick. This year, I had nearly 30 million VND left, so I went to Vinh city to buy gold rings in blister packs. The price of gold at the beginning of the year increased sharply, compared to the month during Tet, it increased by nearly 5 million VND/tael. Although it was high, I still decided to buy 3 taels to store.”

If in previous years, after Tet, especially near the God of Wealth Day (the 10th day of the first lunar month), the gold market is always bustling due to high purchasing power. Some people have surplus money after Tet so they buy gold to store, many people, at the beginning of the year do not know what to invest in so temporarily invest in gold because of its high liquidity; among them, many people have foreign currency flows sent back by their children working abroad and will buy gold to store; some people believe that buying gold brings luck, good fortune...

However, this year, the price of gold has continuously jumped but trading has been very quiet. Ms. Trinh Tuyet Mai, in charge of the gold counter of a private gold and silver business on Cao Thang Street (Vinh City) said: "The store opened on the 4th day of Tet but the number of customers coming to buy and sell is very low. Most of them buy gold jewelry, while gold rings are quite small. There is no situation of people lining up to buy or "running out" of gold rings like in some big cities."

According to gold shop owners, the reason the gold market is quiet at the beginning of the new year is due to economic difficulties and not much money saved. Moreover, at the beginning of the year, gold prices have been skyrocketing, so many people consider this not a good time to spend money to buy gold.

“Every year, the price of gold usually starts to increase before Tet, after Tet, near the day of the God of Wealth, it skyrockets and then reverses and decreases in the following days. Therefore, even though I intend to buy gold for investment, I will wait until after the full moon of January to decide whether to buy or not,” said Dinh Manh Phu Tu, a gold investor in Le Loi ward (Vinh city).

According to experts, the domestic gold price is increasing in line with the international trend. In the international market, the precious metal peaked at around 2,800 USD/ounce. Previously, the gold price scenario on the day of God of Wealth was usually a sharp increase from before Tet, then reversed on the 9th, and then increased sharply on the day of God of Wealth (January 10) before plummeting in the following days.

However, from 2022, gold prices will continue to increase steadily after the God of Wealth's day. This year, the scenario of gold prices after the God of Wealth's day is "very difficult to predict", because the world gold price is facing many complex factors. Therefore, people need to be careful when investing in gold at this time.