Gold climbs, dollar stalls
Price of gold in Vietnam neared VND42.3 million a tael (1.2 ounces) on June 18 as global price resumed rising trend.
Saigon Jewelry Company, Vietnamís biggest gold processer and trader, bought the metal at VND42.09 million and sold at VND42.29 million as of 10.20am Vietnamese time.
Hanoi-based Phu Quy Jewelry Company purchased SJC-brand gold at VND42.22 million and sold at VND42.32 million as of 9.55am Vietnamese time.
Bao Tin Minh Chau Jewelry Company quoted price at VND40.95 million for buying, and at VND41.25 million for selling at 10.55am Vietnamese time.
Most gold shops experienced a slump in the number of customers of late. Manufacturing of non-SJC gold is on hold as SJC now has a monopoly on the bullion under Decree 24 on gold trading. However, it too was not saleable.
According to gold traders, investors opted to stand on the sidelines as gold has been fluctuating around VND41-42 million a tael for a month, showing low profitability.
Domestically, gold fetched VND1.1 million a tael, higher than global price.
On free market, the US dollar was bought at VND20,950 per dollar, and sold at VND20,970 per dollar, unchanged as of the previous day.
Meanwhile, Vietcombank bought the greenback at VND20,920 per dollar, and sold at VND20,970 per dollar, a drop of VND20 per dollar over the previous day. Eximbank purchased dollar at VND20,910 and sold at VND20,970 per dollar.
Internationally gold surged at seventh consecutive trading session as sentiment improved after Greece temporarily dodged the risk of leaving the eurozone. However, caution still prevailed over global financial market as Spain may be hit by debt crisis. Yesterday, Spainís borrowing costs rose to levels seen as unsustainable.
In Asia, spot gold gained $0.7 an ounce to trade at $1,630.4 an ounce at 9.40am Vietnamese time.
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