China's Gold Imports Soar Amid Global Uncertainty

The gold price has remained relatively stable in Vietnam over the weekend, but faces pressure due to expectations of a Federal Reserve interest rate hike. Despite this, the market expects China's imports of over 1,000 tons of gold to support prices.

The SJC gold bars price across all five brands remained unchanged at 141.4 - 144.4 million VND/ounce for both buying and selling compared to the end of the previous day's session. In contrast, DOJI maintained a gain of 300,000 VND/ounce in both buying and selling prices.

The world gold price listed on the Kitco electronic exchange was $4,281.50 per ounce, an increase of $6 compared to the previous trading session. This equates to a 0.14% increase based on the USD exchange rate of Vietcombank (26,180 VND).

The pressure on the gold market stems from stronger economic activity and falling jobless claims, which reinforce the view that the Fed's September interest rate cut may not be the end of the policy adjustment cycle. The market currently has a 71% probability that the Fed will continue to raise interest rates by 25 basis points in October.

The recent lower price of gold and the strengthening yuan have boosted investment demand, as China continues to import significant amounts of gold. According to customs data for the first eight months, China spent nearly $159 billion to import more than 1,000 tons of gold, a figure higher than last year's total of $96.5 billion for 886 tons.