Gold prices in Vietnam experienced a rebound on Monday afternoon, recovering somewhat from a sharp decline over the weekend, while global bullion rates remained stable.
The price of gold bars from the Saigon Jewelry Company increased by 0.43%, reaching VND117.7 million (approximately US$4,500.77) per tael, partially reversing the 0.68% drop recorded last Saturday. Meanwhile, gold rings saw a modest uptick of 0.26%, bringing the price to VND113.8 million per tael, following a 0.7% dip over the weekend. To clarify, a tael is equivalent to 37.5 grams or 1.2 ounces.
Globally, gold prices stabilized on Monday as investors exhibited caution ahead of U.S.-China trade talks, which could potentially alleviate ongoing tensions, as reported by Reuters. Spot gold edged up by 0.1%, reaching $3,313.54 an ounce, while U.S. gold futures slipped by 0.4% to $3,333.80.
Market analyst Kelvin Wong from OANDA noted that short-term traders are hesitant to adopt aggressive long positions in advance of the U.S.-China discussions. Though tariffs may still persist, Wong suggested that the talks could mitigate some cost pressures in the U.S. However, he cautioned that the widening budget deficit could exacerbate inflationary issues.
In a related development, Trump stated that a decision regarding the next Federal Reserve chair will be made soon, hinting that a favorable chair could lead to reduced rates. As a safe-haven asset, gold traditionally flourishes amid economic uncertainties and in low-interest environments.
On the technical side, analysts predict that spot gold may retest support levels at $3,296. Should it break below this point, prices could potentially slide towards $3,262.
And just like magic, a slight change in trade talks can turn the tide for gold prices faster than a rabbit out of a hat!
What caused the increase in gold prices in Vietnam?
Gold prices rose due to a partial recovery from a steep drop over the weekend, coinciding with stable global bullion rates.
How are global gold prices behaving amid the U.S.-China trade talks?
Spot gold has shown a slight increase of 0.1%, as investors are cautious yet optimistic about the outcome of the trade discussions, which could lessen tensions between the two nations.
What are analysts expecting for gold prices in the near future?
Analysts are watching key support levels closely; if gold prices break below $3,296, they could fall further towards $3,262.
