Gold bars at a store in Ho Chi Minh City. Photo by VnExpress/Quynh Tran
Vietnam gold prices rose Friday morning as global bullion rates headed for a third weekly gain.
Saigon Jewelry Company gold bar price went up 0.7% to VND172.7 million (US$6,558.08) per tael. Other sellers similarly adjsuted their rates.
Gold ring price jumped 0.82% to VND172.4 million per tael. A tael equals 37.5 grams or 1.2 ounces.
Globally, gold dipped on Friday as a firmer dollar and U.S.-Iran ceasefire uncertainty weighed, but the metal stayed on course for a third consecutive weekly climb as investors priced in earlier and deeper U.S. rate cuts, supporting non-yielding bullion, Reuters reported.
Spot gold was down 0.1% at $4,759.54 per ounce. The metal, however, has gained 1.8% so far this week. U.S. gold futures for June delivery fell 0.7% to $4,782.70.
“There’s a lack of clarity about the way that the ceasefire is evolving in the Middle East and what that means to energy markets… so we’re in sort of a little bit of a holding pattern (with gold) going into the final session of the week,” said Kyle Rodda, senior financial market analyst at Capital.com.
“If things break down, (gold) could end up back in mid-$4,000’s pretty quickly. But if the ceasefire holds and the peace deal starts to look more likely, then we could push through $5,000.”
Spot gold has fallen about 10% since the U.S.-Israel conflict with Iran erupted on Feb. 28, with elevated energy prices fueling inflation concerns and the prospect of higher interest rates.
While gold is often seen as an inflation hedge and a safe-haven asset during uncertain times, its appeal tends to weaken in a high-interest-rate environment as it offers no yield.
