Gold jewelry seen in a shop in Hanoi. Photo by VnExpress/Giang Huy
Saigon Jewelry Company gold bar price rose by 1.23% to a new peak of VND106.5 million (US$4,134.72) per tael.
It previously reached a high of VND106.4 million per tael hit on Friday morning before falling to VND105.2 million in the afternoon. A tael equals 37.5 grams or 1.2 ounces.
Gold ring price rose 0.57% to VND105 million per tael, 1.3% away from its previous peak of VND106.4 million.
Globally, gold blazed past the $3,200 mark on Friday, as a faltering dollar and an escalating U.S.-China trade war stirred recession fears, sending investors flocking to the safety of the yellow metal, Reuters reported.
Spot gold was up nearly 2% at $3,235.89 an ounce, after hitting a record high of $3,245.28 earlier in the session. Bullion is up over 6% this week.
“Gold is clearly seen as the favoured safe-haven asset in a world upended by Trump’s trade war. The U.S. dollar has depreciated, and U.S. Treasuries are selling off hard, as faith in the U.S. as a reliable trading partner has diminished,” said Nitesh Shah, commodities strategist at WisdomTree.
The dollar fell against its peers, making greenback-priced bullion cheaper for overseas buyers.
“A minor correction (for gold) wouldn’t surprise, but the path forward is up and away as CPI and PPI give the Fed more room to cut and will keep downward pressure on the dollar,” said Tai Wong, an independent metals trader.
Non-yielding gold, a traditional hedge against global uncertainties and inflation, also tends to thrive in a low interest rate environment.
