Gold rings on display at a store in Hanoi. Photo by VnExpress/Giang Huy
Saigon Jewelry Company gold ring price rose by 0.07% to VND75.65 million (US$2,972.21) per tael Wednesday morning.
Gold bar price was stable at VND76.98 million per tael. A tael equals 37.5 grams or 1.2 ounces.
Globally, gold prices were flat on Wednesday as investors awaited minutes of the Federal Reserve’s last policy meeting for fresh cues on when the U.S. central bank will start cutting interest rates, overshadowing a strong domestic jobs report, Reuters reported.
Spot gold was little changed at $2,331.97 per ounce. U.S. gold futures gained 0.3% to $2,340.20.
The gold market has been steady and holding in a narrow range for a few weeks now, said Marex analyst Edward Meir, adding that bullion prices might move higher later this year with all the elections up in the air.
Ahead of the release of the Fed minutes, Chair Jerome Powell said on Tuesday the United States was back on a “disinflationary path,” but policymakers needed more data before cutting rates to verify that recent weaker inflation readings provided an accurate picture of the economy.
Lower interest rates reduce the opportunity cost of holding non-yielding bullion.
“There’s a clear path for gold to outperform from here, likely fueled by Western flows. Conversely, in the event that central bank demand drops drastically, rates remain high for longer and Asian investor sentiment flips, we could see a pullback in the second half,” the World Gold Council said in its mid-year outlook report.
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