Gold prices "go crazy" at the beginning of the new year

Gold price increased by 1.6 million VND/tael in buying direction

The last days of 2023 are a memorable period for the domestic gold market. While the world gold price is quite calm above the 2,000 USD/ounce mark, the price of SJC gold is in chaos, sometimes rising "vertically" and sometimes "falling freely".

Entering the first trading day of the new year 2024, SJC gold price continued to "storm" the precious metals market when it increased sharply.

Phu Nhuan Jewelry Company – PNJ is trading SJC gold at the price of: 71.60 million VND/tael – 74.60 million VND/tael, an increase of 1.6 million VND/tael for buying, an increase of 600,000 VND/tael for selling.

Doji Group adjusted the price of SJC gold in Hanoi to increase by 1.5 million VND/tael for buying and 500,000 VND/tael for selling to 69.50 million VND/tael - 74.50 million VND/tael.

gold price every year picture 1 — After the extremely volatile last days of 2023, on the first trading day of the new year 2024, SJC gold prices continued to "go crazy". Photo: Hoang Tu

In the Ho Chi Minh City market, Doji's SJC gold price increased by 1 million VND/tael for buying and kept the selling price unchanged at: 71 million VND/tael - 75 million VND/tael.

At Saigon Jewelry Company - SJC, SJC gold price is listed at: 71.50 million VND/tael - 74.50 million VND/tael, an increase of 400,000 VND/tael for buying, an increase of 600,000 VND/tael for selling compared to the end of 2023.

SJC gold price at Bao Tin Minh Chau Jewelry Company is being traded at: 71 million VND/tael - 74.50 million VND/tael, down 100,000 VND/tael for buying but up 500,000 VND/tael for selling.

It can be seen that most "gold houses" have adjusted the selling price sharply and increased the buying price very strongly, causing the gap between selling and buying prices to decrease significantly compared to the end of 2023.

Specifically, in the market, the largest difference belongs to Doji Group with 5 million VND, a sharp decrease compared to 6 million VND at the end of last year. Following is Bao Tin Minh Chau with 3.5 million VND/tael. The difference at SJC and PNJ is also 3 million VND/tael. Although it has decreased, this is still a very large gap, potentially bringing many risks to gold buyers.

Non-SJC gold price increased slightly

While SJC gold price continues to "make a mess" of the precious metals market, non-SJC gold price only increased very slightly.

Specifically, at Bao Tin Minh Chau Company, the price of Thang Long dragon gold is trading at: 62.23 million VND/tael - 63.43 million VND/tael, an increase of 170,000 VND/tael compared to the end of 2023.

PNJ gold price at PNJ Company is currently listed at: 61.90 million VND/tael - 63 million VND/tael, an increase of 200,000 VND/tael.

It can be seen that both Thang Long Dragon Gold and PNJ Gold have a very modest growth rate compared to the world gold price, although in 2023, the profitability of this precious metal is much higher than that of SJC gold.

In 2023, while the profitability of SJC gold and world gold is only 5.7% and 13.45%, the benefit of non-SJC gold is up to 15.2%. However, the risk that this precious metal brings is still not small when non-SJC gold is about 2 million VND/tael more expensive than world gold and the selling price is 1.2 million VND/tael higher than the buying price.

Investors "weigh their brains"

Currently, the price of SJC gold is about 11 million VND/tael higher than the price of non-SJC gold. This is a very large difference, so investors are wondering which type of gold to buy for storage.

Sharing with reporters of the Journalist and Public Opinion newspaper, Ms. Thu Hoai (Minh Khai, Hanoi) said that in 2023, she and her husband had saved about 300 million VND. Because the interest rate was too low, they decided to buy gold, but what kind of gold to buy was a difficult question.

“SJC gold is gold recognized by the State, but currently, the price of SJC gold is too high, nearly 15 million VND/tael higher than the world price. And the selling price is 3 million to 5 million VND/tael higher than the buying price. I read in the newspaper that experts warn that this is a very large difference, bringing many risks. And the risks have become clear in the last days of 2023. Therefore, I find it a bit risky to buy SJC gold at this time,” Ms. Thu Hoai shared.

She had another option, which was to buy non-SJC gold. However, according to her, these were types of gold that the State did not recognize, so they had other risks. As a result, her family spent the entire New Year considering which type of gold to buy, but still had not “finalized”.

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