Gold prices rally – VnExpress International
Saigon Jewelry Company gold bar price gained 2.38% to VND150.5 million (US$5,723) per tael.
Gold ring price similarly rose to VND150.4 million per tael. A tael equals 37.5 grams or 1.2 ounces.
Local bullion rates are down 1.5% from the start of the year and around VND12.5 million per tael higher than global prices.
Globally, gold rose 2% on Monday after U.S. and Iran officials said they had reached a preliminary deal to end their conflict, pushing oil prices lower and easing concerns about inflation and higher interest rates, Reuters reported.
Spot gold was up 2% at $4,304.11 per ounce, hitting its highest level since June 9. U.S. gold futures for August delivery rose 2% to $4,325.20.
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Gold bars at a store in Ho Chi Minh City. Photo by VnExpress/Thanh Tung |
The U.S. dollar fell to a 10-day low, making greenback-priced bullion cheaper for other currency holders, while oil prices slipped more than 4%.
“Lower oil prices and a softer dollar, stemming from reduced geopolitical risk and the anticipated reopening of the Strait of Hormuz, are helping to calm inflation expectations,” said Tim Waterer, chief market analyst at KCM Trade.
“This combination is providing the precious metal with its best tailwind in recent weeks, though sustainability will depend on how durable the peace agreement proves to be.”
