Highest price of SJC gold bars in history: 124.4 million VND/tael

Gold prices are high but few people are selling

The buying price of SJC gold bars also increased to 123.2 million VND/tael. Notably, although the price of SJC gold bars reached its highest level in history, the difference between buying and selling prices narrowed to only 1.2 million VND/tael.

Previously, when gold prices fluctuated strongly, the difference between buying and selling prices was often pushed up to 2-3 million VND/tael.

According to expert Tran Duy Phuong, the reason the gap between buying and selling prices has narrowed is because there are very few sellers, while demand for buying still exists. Therefore, gold companies and gold shops have to push up prices to stimulate people's selling power.

The selling price of 9999 gold rings at SJC Company at the end of today was 119.8 million VND/tael, buying price was 117.3 million VND/tael. Compared to the price of SJC gold bars, the price of 9999 gold rings is 4.6 million VND/tael lower for selling and 5.9 million VND/tael lower for buying.

Why did the price of gold suddenly increase sharply?

The world gold price at the end of August 8 was at 3,393.3 USD/ounce. Converted according to the exchange rate listed at the bank, the converted world gold price is equivalent to 108 million VND/tael.

Thus, compared to the converted world gold price, the price of SJC gold bars is 16.4 million VND/tael higher and the price of gold rings is 11.8 million VND/tael higher.

Global gold prices are at a two-week high thanks to increased risk-averse demand as the US reciprocal tariffs officially take effect. Ongoing trade tensions and unresolved geopolitical tensions will continue to support gold prices as demand for "safe havens" remains high.

In addition, the possibility of the US Federal Reserve (Fed) cutting interest rates next month is high. This information has supported the gold price to approach the $3,400/ounce mark.

Gold prices were further supported as weekly data from the US Labor Department showed initial jobless claims rose to a one-month high, suggesting a weakening US job market and strengthening the case for the Federal Reserve to cut interest rates at its meeting next month.

Traders in the interest rate futures market are betting on a nearly 93% chance of the Fed cutting rates by 0.25% in September, according to data from the CME exchange's FedWatch Tool.

After net selling 3.1 tons of gold in the session on Wednesday, the world's largest gold ETF SPDR Gold Trust made a strong net purchase again in yesterday's session. This session, the fund net bought 6.3 tons of gold, increasing its holdings to 959.1 tons of gold.

Next week, the outcome of the US-Russia summit could have a significant impact on global investors' risk appetite.