Gold price reaches 120 million VND/tael: Where should I put my money?

Gold price reaches 120 million VND/tael

The gold market is witnessing a strong upward trend in the price of SJC gold and gold rings. In the session of April 18, this precious metal successfully conquered the all-time record high of 120 million VND/tael.

Specifically, at the end of April 18, at Saigon Jewelry Company Limited - SJC, the price of SJC gold was listed at: 117 million VND/tael (buying price) - 120 million VND/tael (selling price), an increase of 2 million VND/tael after 1 trading day but an increase of 35.5 million VND/tael, equivalent to 41% compared to the last session of 2024.

The same thing is happening with this precious metal at some major "gold houses".

After many fluctuations, currently, the price of SJC gold at Bao Tin Minh Chau Company Limited, Phu Nhuan Jewelry Joint Stock Company - PNJ and Doji Group is also traded at 117 million VND/tael - 120 million VND/tael.

Non-SJC gold prices are also listed at sky-high levels. At Bao Tin Minh Chau, Thang Long dragon gold is bought and sold at 116.5 million VND/tael - 119.5 million VND/tael. PNJ Company exchanges the price of PNJ 999.9 plain gold rings at 114 million VND/tael - 117 million VND/tael.

The high price of gold has caused investors to flock to gold shops to trade, many of whom are buying instead of selling. People are still flocking to gold shops despite the sharp drop in world gold prices.

At present, in the European market, the world gold price is trading at 3,327 USD/ounce, down 14.6 USD/ounce, equivalent to 0.44%. Previously, this precious metal successfully conquered the historical peak of 3,350 USD/ounce on April 17.

Gold prices have increased sharply in recent days. Photo: Hoang Quyen

Where to invest?

At this time, gold is the most "shining" channel. People continue to line up to buy gold. But is this the most attractive investment channel? Talking to reporters of the Industry and Trade Newspaper, Dr. Nguyen Tri Hieu - a banking and finance expert - said that from the past to the present, the market has consisted of 4 main investment channels. These are gold, stocks, foreign currency and real estate. However, in recent years, a new channel has appeared, digital currency.

“The answer to the question of where to invest depends on the investment goal. The first goal is capital safety, where to put money to be safest. The second goal is the rate of return. The third goal is liquidity, easy to convert into cash,” Mr. Hieu shared.

Regarding stocks, Mr. Hieu "scored" capital safety at a low score of only 6 points because the market is currently fluctuating strongly, investors buying and selling may not make a profit. That is also why the profit point of this channel only stops at 6 points. Liquidity in the stock market is not low, but with some codes, the transferability is not high, so Mr. Hieu scored 6 points. The total score for the stock channel is 18 points.

As for real estate, Mr. Hieu assessed that the capital safety is relatively high, but buying and selling can cause losses, so Mr. Hieu only gave 7 points for the first target. That is why the profitability of this channel is not necessarily good when prices have increased too much over the past time. Therefore, the second target only received 6 points. Meanwhile, the liquidity of real estate is relatively low. At this time, buying a house will take a whole month to sell. Therefore, Mr. Hieu gave 6 points. The total score that the real estate channel received is 19 points.

People "flock" to buy gold in the context of sharp increase in gold price. Photo: Hoang Quyen

Regarding the foreign currency channel, Mr. Hieu assessed the capital safety as quite high, the USD price is increasing so it is difficult to lose. Therefore, Mr. Hieu gave 7 points for capital safety, 9 points for profitability. However, the biggest problem with foreign currency is low liquidity so the score for this target is only 6. The score for the foreign currency channel is 22.

Cryptocurrency is the channel Mr. Hieu rated the lowest because of its wild price fluctuations, low safety, and high liquidity but still having to convert to another currency, so it is quite complicated. Mr. Hieu's total score for this channel is only 17.

Gold and bank deposits are the two investment channels that Mr. Hieu appreciates the most.

“Currently, bank deposits are very safe, highly liquid but have low profitability. With capital safety, I rate it 10 points, profitability 4 points, liquidity 10 points. The total score for savings is 24 points,” Mr. Hieu analyzed.

Gold is also an investment channel that Mr. Hieu highly appreciates with a score of 9 (capital safety), 9 (profitability) and 6 (liquidity). The total score of the gold investment channel is 24, equal to savings deposits.

However, Mr. Hieu further analyzed that from an investment perspective, from the perspective of the people, gold is a type of self-insurance for those who do not have social security or insurance. For these people, putting money into gold, when needed, they can sell it to pay for living expenses or inheritance. From an individual perspective, gold is a reasonable investment channel.

However, from a macro perspective, compared to gold, savings deposits are better for the economy. When people buy gold to store, it is a waste. Saving deposits are different, this money flows into the bank, the bank will bring it out into the economy, put it into production and business through the form of loans.

Foreign currency is the second highest-scoring channel, after gold and savings deposits, but Mr. Hieu does not encourage it because “foreign currency is only for those who are allowed to do business, not for everyone. Therefore, this channel is excluded,” Mr. Hieu analyzed.

According to the latest data released by the State Bank, residents' deposits at credit institutions by the end of December 2024 reached VND 7,065 trillion, an increase of 8.15% compared to the end of 2023, setting a new record. This is also the first time residents' deposits in the banking system have reached over VND 7,065 trillion. Compared to the end of November 2024, residents' savings deposits increased by nearly VND 400,000 billion.

Hoang Quyen

Source: https://congthuong.vn/gia-vang-dat-120-trieu-dongluong-nen-de-tien-vao-dau-383762.html