Gold trading in Nghe An has become active again.
(Baonghean.vn) - According to statistics, in just one week (March 18-24), the price of gold in Vietnam decreased by over 1 million VND/ounce. Closing the trading session this week, today (March 24), the price of gold increased slightly, and along with several other factors, gold trading in Nghe An has become active again.
On the morning of March 24th, the number of customers at major gold shops in Vinh City increased sharply compared to previous days. The Kim Thanh Huy gold and silver business store (Cao Thang Street) was particularly crowded with people.
According to observations, a considerable number of people came to sell gold bars. Ms. Phuong Thi H., a person trading SJC gold bars, said: “Two years ago, I converted all my plain gold rings and jewelry, nearly 8 taels, into gold bars and had to add a significant amount of money. At that time, I thought gold bars were easy to store and preserve, and would fetch a high price when sold.”
"But now, with the government tightening regulations on gold bullion trading, and after reading in the newspapers that the price of gold bullion is significantly higher than the world gold price, and following expert advice that investing in gold bullion carries many risks, I decided to sell while the price of gold bullion is still high."
Similarly, despite the small amount of gold—only 2 taels of wedding gold—Ms. Dang My Ha (Nghi Phong, Nghi Loc) was worried that the price of gold bars would fall sharply, so she also brought it to the shop to exchange it for plain gold rings. However, based on the prices listed, Ms. Ha was quite hesitant: “According to the shop's listed prices, the selling price of gold bars is 81.50 million VND/tael, while the buying price is only 77 million VND/tael. The difference between the buying and selling price is too high (4.5 million VND/tael), so I don't know what to do.”
According to a survey conducted on the morning of March 24th, at gold shops in Vinh City and some other localities in the province, the listed prices ranged from 81-81.50 million VND/ounce (selling price) and 77-77.50 million VND/ounce (buying price) for SJC gold bars; and 70-70.50 million VND/ounce (selling price) and 66.80-67 million VND/ounce (buying price) for 9999 pure gold rings.
With the listed price, the fluctuations over the past three days have been negligible. However, the number of people coming to trade increased sharply on the weekend. Specifically, the number of people selling gold slightly exceeded the number of people buying it.
Ms. Truong Thi Anh, a staff member at the gold counter of Kim Thanh Huy gold shop, said: "The number of people coming to sell SJC gold bars has increased by about 30% compared to before. Among them, quite a few people selling gold bars have switched to buying plain gold rings for investment."
The reason for the increase in the number of people selling gold bars is that, in recent days, the price of SJC gold has continuously decreased, especially after the Prime Minister issued Official Dispatch No. 23/CĐ-TTg on March 20, 2024, requesting strengthened measures to manage the gold market, including assigning functional agencies to inspect and check the gold market, the activities of gold trading businesses and other entities participating in the market; strictly handling violations, especially smuggling, profiteering, speculation, manipulation, and exploiting policies to push up prices…
Therefore, many people, including many investors, are worried that the price of gold bars may fall sharply in the near future, so they have accepted selling even with small profits or breaking even.
Many people, after selling gold bars, have reinvested by buying gold rings as a reserve because their idle money doesn't earn interest, and bank interest rates have "hit rock bottom." However, many are cautious about investing in gold rings now that the price is starting to rise, waiting for the next downward cycle before buying gold for investment.
Currently, although gold prices have shown signs of cooling down, the buy-sell spread for SJC gold remains high. This puts investors at risk of losses when buying gold. Furthermore, recent information regarding gold management and the monopoly on gold bars has also made people more cautious before investing.
Offering advice to investors, many experts believe that the price of SJC gold is still at its peak, and buying at this time carries significant risks, with returns not as high as before.
However, the global gold price trend is expected to continue rising in 2024, so if you want to buy, wait until April or May, when domestic gold prices tend to fall, to get a better price.
It's also advisable to choose 9999 pure gold rings for investment because SJC gold currently has a high price difference compared to world gold prices, and it's uncertain when the State Bank will intervene, so the risk is quite high. Meanwhile, gold rings usually closely follow the market, with a price difference of only 3-4 million VND/ounce compared to world gold, so the risk for investors is not as great.