How has the Nghe An gold market fluctuated after the US presidential election?

After Donald Trump's victory in the US presidential election, the USD increased sharply, putting great pressure on gold prices. According to Kitco, the USD increased sharply, while gold was sold off strongly after Donald Trump's victory was announced. Not only that, this precious metal is facing an important challenge in terms of support when the US Federal Reserve (FED) decides on interest rates soon. The sell-off in gold pushed the price of this precious metal down from 2,708.76 USD/ounce.

Gold could fall to its 50-day moving average to $2,636.66 an ounce if the Fed signals more caution about future rate cuts, analysts said. If yields continue to rise and the dollar remains strong, gold may struggle to recover to recent support levels, leading to the potential for further declines in the coming days.

Following the downward trend of world gold prices, domestic gold prices have also dropped sharply over the past 3 days. Accordingly, on the morning of November 7, domestic gold prices fell across the board, specifically: SJC gold bar prices were listed by major brands at VND85-87.5 million/tael (buy-sell).

Compared to the beginning of the previous trading session, the price of gold bars decreased by VND2 million/tael for buying and VND1.5 million/tael for selling. Meanwhile, the price of 9999 Hung Thinh Vuong round rings at DOJI is listed at VND84.1-85.5 million/tael (buying - selling); decreased by VND3.4 million/tael for buying and decreased by VND3 million/tael for selling.

In Nghe An, according to a reporter's survey, on the morning of November 7, the listed prices at different gold shops were different. Accordingly, the price of SJC gold bars has not yet been publicly listed by gold and silver businesses in Nghe An; only 9999 gold rings are listed at 82.5-83 million VND/tael (buy) and 86-87 million VND/tael (sell).

With this price, compared to yesterday, it has decreased by nearly 2 million VND/tael (selling) and 1.5 million VND/tael (buying). The difference between buying and selling is quite large, 3.5-4 million VND/tael.

Ms. Mai Tho, an employee at a gold shop on Cao Thang Street (Vinh City) said: “The price of gold has fluctuated continuously in the past 3 days, decreasing sharply compared to the closing price of last week’s trading session. This morning alone, the price of gold has been adjusted down 3 times.

If in the early morning the listed price was 87.20 million VND/tael (sell) and 83.50 million VND/tael (buy), then at 11:30, it decreased again to 87 million VND/tael (sell) and 82.5 million VND/tael (buy).

According to general records, during this period of strong gold price fluctuations, gold shops are quite crowded and bustling. Most people only come to consult prices and listen to the market. Another part is that now is the peak wedding season, so people come to buy jewelry rings as wedding gifts, couples buy wedding gold... Most gold investment transactions are almost "frozen". Buyers are not in a hurry to buy because they are expecting the gold price to continue to drop; sellers do not dare to sell because they see the gold price plummeting quite quickly, and are disappointed when the gold price drops.

“Reading the newspaper and following information about gold prices, according to forecasts, gold prices will continue to decrease in the near future, so I am waiting for the time when gold prices decrease to buy and store. Now, although the price has decreased sharply, it is still quite high, so I am hesitant,” said Nguyen Phuong T., a gold investor in Duc Tho (Ha Tinh) who came to Vinh city to consult gold prices.

Meanwhile, needing money to pay off a house loan, Mr. Dinh Van M. (Hung Loc, Vinh City) planned to sell 10 taels of gold he had previously bought for cash. However, seeing that the gold price had dropped too quickly, selling now would cost him nearly 50 million VND compared to the selling price last week, so he decided to bring the gold home, mortgage it to the bank to borrow money, and wait for the gold price to rise to a new rhythm before selling.

However, some people, fearing that gold will continue to fall, have taken advantage of the situation to take profits. “I bought gold at 71 million VND/tael, and now selling it at 82.5 million VND/tael, I still have a profit of nearly 12 million VND/tael after 6 months of investment. Therefore, at this time, I decided to sell to take profits. If gold continues to fall, I will be interested in “buying at the bottom” to invest,” said Ms. Duong Viet Thuy Tram, a gold investor in Vinh.

Unlike in big cities, where gold prices have dropped dramatically, people have to line up and jostle to buy, in Vinh city, most of the real estate market is inactive, only a few sellers are taking profits, the rest are consulting, listening to the market, expecting gold to continue to drop to buy and store.