The price of plain round gold rings accelerates, continuing to set new peaks

The price of plain round gold rings hits a new peak

Last week, the gold market witnessed a sharp drop in SJC gold prices along with world gold prices. However, the price of round, smooth gold rings accelerated, recording a fairly strong increase. In the first session of the new week, the paradox between gold rings and SJC gold continued to occur.

At Phu Nhuan Jewelry Company – PNJ, PNJ gold price is being traded at: 62.75 million VND/tael – 63.95 million VND/tael, an increase of 100,000 VND/tael compared to last weekend.

Bao Tin Minh Chau Jewelry Company adjusted the price of Thang Long Dragon gold slightly higher. This precious metal only increased by VND20,000/tael to VND64.14 million/tael – VND65.24 million/tael.

gold price round round increase continue to set new peak image 1 — Although the price of SJC gold is decreasing, the price of plain round gold rings is still accelerating, continuing to set new peaks. Photo: Hoang Tu

Meanwhile, SJC gold prices fell simultaneously.

At Phu Nhuan Company, SJC gold price was adjusted down by 500,000 VND/tael for buying, down by 600,000 VND/tael for buying to only 73.90 million VND/tael - 76.30 million VND/tael.

SJC gold price at Bao Tin Minh Chau is being exchanged at: 73.82 million VND/tael - 76.30 million VND/tael, down 230,000 VND/tael for buying, down 350,000 VND/tael for selling.

At Doji Group, SJC gold price decreased by 600,000 VND/tael for buying and 500,000 VND/tael for selling to 73.75 million VND/tael - 76.25 million VND/tael.

At Saigon Jewelry Company – SJC, SJC gold price is listed at: 73.70 million VND/tael – 76.20 million VND/tael, down 350,000 VND/tael for buying, down 450,000 VND/tael for selling.

It can be seen that smooth round gold rings are showing superior strength compared to SJC gold.

Confidence in gold's rally weakens

This week, 14 Wall Street analysts participated in the Kitco News Gold Survey, and they showed that confidence in gold’s bullish momentum has weakened significantly. Six experts, or 42%, expect higher gold prices this week, while four analysts, or 29%, see lower prices and another four, or 29%, are neutral on gold.

Meanwhile, 150 votes were cast in Kitco’s online poll. Retail traders almost exactly mirrored the views of the professionals. Sixty-six retail investors, or 44%, expect gold to rise this week. Another 44, or 29%, predict lower prices, while 40 respondents, or 27%, are neutral on the precious metal’s near-term outlook.

While investors will be keeping a close eye on the continuing conflict in the Middle East, central bank interest rate decisions will once again take centre stage this week with three key monetary policy decisions.

The Bank of Japan is expected to maintain its dovish stance and negative interest rates on Monday, followed by a Bank of Canada rate decision on Wednesday, which is anyone’s guess. Thursday morning will see the European Central Bank’s interest rate announcement, which could pose the biggest risk to the US dollar and gold this week.

“I am bullish on gold next week,” said Colin Cieszynski, chief market strategist at SIA Wealth Management. “Gold continues to face moderate headwinds with rising Treasury yields and a stronger U.S. dollar.”

Marc Chandler, CEO at Bannockburn Global Forex, said that with the additional conflict premium not materializing, interest rates and economic news will dictate price direction next week.

“Gold is ending the week around midweek. The high was set on Monday near 2,058.60 and the low was set midweek just below 2,002. Geopolitics and the widening conflict in the Middle East (including Pakistan and Iran) seems to have had less impact than I thought,” Chandler said.

“It’s going to be interesting because from a technical standpoint, we have a lot of different signals going on. The trend on the weekly chart is still bearish,” said Darin Newsom, senior market analyst at Barchart.com.

“I think we’re going to continue to see money flowing out of commodities, including gold. Now, gold is probably one of the last things we see money flowing out of because there’s so much uncertainty in the world. But that said, the weekly chart still looks bearish,” he said.

Darin Newsom forecasts gold prices could fall to $1,987.90, with the next target being $1,960.80 in the February contract.

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