The price of gold in Vietnam suddenly jumped by VND200,000 a tael (1.2 ounces) June 18 over the previous day as global prices closed in on an all-time high of US$1,252.11 set on June 8.
At most gold shops, the precious metal was bought at VND28.25 million and sold above VND28.3 million as of 9:45 am local time, the highest level in the past 10 days. On June 8, domestic price hit a six month high at VND28.35 million.
Locally, gold fetched VND400,000 a tael less than globally.
According to gold traders, with a strong rise, bullion market would probably experience heavy selling today.
Internationally, spot gold rose as much as $14.7 an ounce, or 1.2 percent, to close at $1,246.2 on the New York Mercantile Exchange. Earlier, the metal touched $1,251.2.
Profit-taking of Asian investors made the prices drop slightly this morning. Spot gold slid $2.7 an ounce to $1,243.5 as of 10:10 am Vietnamese time.
The metal has advanced 14 percent this year, heading for a tenth annual gain, the longest winning streak since 1920. Meanwhile, the euro has lost 14 percent, and the MSCI World Index of shares slumped 4.7 percent.
Holdings at SPDR Gold Trust, the biggest exchange-traded fund backed by bullion, climbed to a new record 1,307.96 metric tons, an increase of 1.83 metric tons, the company’s website showed.
The euro rallied last night after Spain’s government bond auction was more successful than expected.
Spain sold 3 billion euros ($3.71 billion) of 10-year debt yesterday at an average yield of 4.864 percent, less than the 5.04 percent the bonds traded before the sale.
The euro exchange against the US dollar was $1.24 in Tokyo this morning, the highest level in the past three weeks.
Crude oil fell after statistics showed the number of initial jobless applications increased by 12,000 to 472,000 in the week ended June 12.
Light sweet crude oil futures for July delivery declined $0.88 a barrel to $76.79.
Crude oil continued moving backwards this morning to near $76 a barrel.
