Gold and dollar 'decrease together'

Gold price today, May 5, 2016, slightly decreased and lost the 34 million VND/tael mark in both buying and selling directions due to investors taking profits.

Although the gold price today decreased slightly, in general, in the past month, the domestic gold price has increased by 700,000 VND.

According to the latest news on gold price today, May 5, 2016, under pressure from the world gold price and profit-taking activities from investors, the domestic gold price has slipped below the 34 million VND/tael mark in both buying and selling directions, which was only re-established during the recent holiday. Along with the downward trend of gold price today, the USD price also decreased slightly in both the free market and banks.

Specifically, at 9:30 a.m., Saigon Jewelry Company listed the price of SJC gold at 33.76 million VND/tael for buying and 33.98 million VND/tael for selling in the Hanoi gold market and 33.76 million VND/tael for buying and 33.96 million VND/tael for selling, down about 40,000 VND/tael in the Ho Chi Minh City market.

At the same time, DOJI Gold and Gemstone Company adjusted the gold price today down 30,000 VND/tael. SJC gold price is traded by DOJI at 33.83 million VND/tael for buying, 33.93 million VND/tael for selling in Hanoi gold market and 33.83 million VND/tael for buying, 33.93 million VND/tael for selling in Ho Chi Minh City.

Gold price today, May 5, at Phu Nhuan Jewelry Company decreased slightly. SJC gold price in Ho Chi Minh City market is traded at 33.97 million VND/tael - 34.25 million VND/tael. PNJ-DAB Phoenix gold price is 33.83 million VND/tael - 34.23 million VND/tael.

Today's gold price at Bao Tin Minh Chau has not changed much. SJC gold price is traded at 33.83 million VND/tael for buying, 33.92 million VND/tael for selling. The price of 999.9 (24k) gold bars is 33.74 million VND/tael for buying, 34.19 million VND/tael for selling. The price of 999.9 (24k) round gold rings stops at 33.74 million VND/tael for buying, 34.19 million VND/tael for selling.

At commercial banks, gold prices also skyrocketed today. Gold prices at Sacombank-SBJ were traded at VND33.88 million/tael for buying and VND33.98 million/tael for selling. Gold prices at SHB were VND33.83 million/tael – VND33.93 million/tael. Gold prices at TPbank Gold were adjusted to VND33.83 million/tael – VND33.93 million/tael.

It is known that during the April 30 - May 1 holiday, the domestic gold price in Hanoi reached 34.25 million VND/tael, the highest in 2 and a half months. In the context of low demand for gold bars and stable USD/VND exchange rate, the domestic gold market is generally unlikely to have a "wave" at the present time.

Gold prices are still very sensitive to greenback interest rate expectations.

However, due to the upward trend of world gold prices, domestic gold prices have increased by VND700,000/tael in the past month. Compared to the converted world gold price, domestic gold prices are currently about VND500,000/tael cheaper. Meanwhile, despite falling continuously in the past 3 sessions, world gold prices are still quite close to the 15-month peak of over USD1,300/oz set earlier this week.

At the close of trading on May 4 in the New York market (USA), the spot gold price decreased by 6.7 USD/oz, to 1,280 USD/oz. At nearly 10:00 am today, Vietnam time, the spot gold price in Asia increased by 2.1 USD/oz compared to the closing price in the US session, reaching 1,281.1 USD/oz.

Gold prices remain highly sensitive to expectations of US interest rates. Whenever there is bad news in the US economy, the prospect of the Federal Reserve continuing to raise interest rates decreases, causing the US dollar to fall and gold prices to rise, and vice versa.

Recently, the US economy has shown some signs of slowing down, causing the USD exchange rate to drop sharply earlier this week, pushing the gold price above the 1,300 USD/oz mark. Since the beginning of the year, the gold price has increased by about 21%. On May 4, the world's largest gold exchange-traded fund (ETF), SPDR Gold Trust, increased its holdings by nearly 1%, reaching nearly 826 tons, the highest in more than 2 years.

According to VietQ.vn