HANOI: Gold price in Vietnam, Asia's fourth-largest consumer of the metal, fell 2.5 percent on Thursday to the lowest in more than 28 months, despite gains globally, as the central bank maintained its supply of gold to banks through tenders.
The spot selling price per tael (37.5 grammes/1.21 troy ounces) of the SJC-brand fell 2.5 percent to 36.6 million dong ($1,743) at 0655 GMT, said the state-run Saigon Jewelry Co , the only brand allowed for domestic transactions.
The price is the lowest since the week beginning Feb. 7, 2011, when a tael was 35.98 million dong, SJC data showed.
The State Bank of Vietnam (SBV), the central bank, is controlling the domestic gold market to keep dong-dollar rates stable. Its tenders are open to gold shops and banks only and the latest auction saw 26,000 taels of gold sold, the same volume as Tuesday.
The SBV has a monopoly on holding the tenders arranged since late March, partly to help banks meet a June 30 deadline to return gold to depositors before a ban on lenders holding the metal comes into play.
Gold edged higher on Thursday after tumbling 12 percent over the past eight sessions, as soft data on US economic growth eased fears of a quick end to the Federal Reserve's monetary stimulus.
Comments
Comments are closed.