Vietnam gold prices drop after three-day stall
Vietnamese gold prices declined on Tuesday afternoon after a three-day period of stability. The drop came as global gold prices weakened due to a stronger U.S. dollar. The Saigon Jewelry Company reported that its gold bar prices fell by 0.42% to VND142.9 million ($5,497.21) per tael, while gold ring prices decreased by 0.14% to VND143.1 million per tael. Overall, gold prices in Vietnam have decreased by 6.5% so far this year.
Globally, gold prices eased on Tuesday, influenced by a firmer U.S. dollar and higher Treasury yields. However, losses were limited by reduced expectations of a Federal Reserve interest rate hike this month. Spot gold prices slipped by 0.3% to $1,927.87 per ounce, while U.S. gold futures remained relatively unchanged at $1,955.30.
The U.S. dollar's strength made gold more expensive for investors holding other currencies. Kyle Rodda, senior financial market analyst at Capital.com, noted that long-term fundamentals remain supportive for gold. He highlighted that geopolitical risks in the Middle East could be the next major catalyst for gold prices. Additionally, any significant changes in U.S. rate expectations could also drive the next breakout in gold prices.