Gold prices in Vietnam declined Friday morning, despite gains on global markets, with Saigon Jewelry Company’s (SJC) gold bar price falling 0.81% to VND184.8 million (US$7,031.82) per tael, equivalent to 37.5 grams or 1.2 ounces. Gold rings also saw a 0.81% decrease, settling at VND184.5 million per tael.
The domestic price dip occurs as global gold prices rose, buoyed by a weakening U.S. Dollar and softer Treasury yields, according to Reuters. Spot gold increased 0.8% to $5,118.75 per ounce, although U.S. Gold futures for April delivery remained unchanged at $5,123.30.
Analysts attribute the global increase to the dollar’s recent easing, which has provided some support for gold amid ongoing geopolitical risks. Tim Waterer, chief market analyst at KCM Trade, stated that the dollar’s decline “has opened the door for gold to make headway amid the ongoing geopolitical risks.” However, bullion has still experienced a roughly 1% loss this week.
Concerns about persistent inflation and the potential for continued high oil prices to hinder the Federal Reserve’s ability to cut interest rates are tempering gold’s appeal, Waterer added.
Saigon Jewelry Company Limited (SJC) is Vietnam’s largest gold and gold jewelry production and distribution company, holding approximately 90% of the domestic gold bullion market share. Established in 1988, SJC is headquartered in Ho Chi Minh City and employs between 501 and 1,000 people. The company is a public entity directly under the HCM City Party Committee.
In 2011, the State Bank of Vietnam (SBV) designated SJC as the sole authorized producer of gold bars in the country, effectively establishing the company as a monopoly producer of the national gold bar brand. SJC’s business operations include the buying and selling of gold and silver, processing, creating, importing, and exporting jewels, gems, and semi-precious stones, as well as manufacturing gold bullion.
Despite the recent decline, gold prices in Vietnam have risen by 20.9% so far this year. Customers seeking quality and authenticity in gold jewelry in Ho Chi Minh City have been directed to SJC, according to a recent post on Facebook.
Other jewelry companies operating in Ho Chi Minh City include PNJ Group, Aurora Saigon, and Tiffany & Co. At Union Square.
