Gold price skyrockets, surpassing 72 million VND/tael; Gas price has potential risk of price increase

Gold price skyrocketed, surpassing 72 million VND/tael

At the time of survey at 5:00 a.m. on November 28, 2023, the gold price on the trading floors of some companies was as follows:

Today's 9999 gold price is listed by DOJI at 71.50 million VND/tael for buying and 72.50 million VND/tael for selling.

Domestic gold prices rose to unprecedented levels. World gold bar prices quickly surpassed the threshold of 2,000 USD/ounce.

At Mi Hong Gold and Gemstone Company, at the time of survey, the listed price of SJC gold was at 71.65 - 72.45 million VND/tael (buy - sell).

SJC gold price at Bao Tin Minh Chau Company Limited is also traded by the enterprise at 71.76 - 72.43 million VND/tael (buy - sell). Meanwhile, at Bao Tin Manh Hai, it is being traded at 71.72 - 72.72 million VND/tael (buy - sell).

According to Kitco, the world gold price recorded at 5:00 a.m. today, Vietnam time, was at 2,012.965 USD/ounce, a difference of 10.47 USD/ounce compared to yesterday's world gold price. Converted according to the current exchange rate at Vietcombank, the world gold price is about 58.154 million VND/tael (excluding taxes and fees). Thus, the price of SJC gold bars is still 13.546 million VND/tael higher than the international gold price.

USD fell across the board, why?

USD exchange rate today, November 28, 2023, slightly decreased by 5 VND in both buying and selling directions. World USD continues to decrease in price.

The central VND/USD exchange rate announced by the State Bank today is adjusted to 23,947 VND/USD, up 20 VND compared to the closing price of yesterday's trading session.

Currently, the exchange rate allowed for trading by commercial banks ranges from 23,400 - 25,094 VND/USD. The US Dollar exchange rate has also been brought to the buying and selling range by the State Bank of Vietnam from 23,400 to 25,094 VND/USD.

USD exchange rate today, November 28, 2023, slightly decreased by 5 VND in both buying and selling directions.

The USD exchange rate at banks and domestic foreign exchange rates this morning recorded a series of downward adjustments at banks. Specifically, Vietcombank has a buying price of 24,045 and a selling price of 24,415, down 5 VND compared to yesterday's trading session. The current USD buying and selling prices are in the range of 23,400 - 25,300 VND/USD.

The US dollar slipped against most major currencies, with a gauge tracking the greenback's value on track for its biggest monthly decline in a year, weighed down by expectations that the Federal Reserve could start cutting interest rates in the first half of next year.

Gas prices pose potential risk of price increase despite abundant reserves

Opening the morning trading session on November 28, 2023, the world market gas price increased by 0.20% to 2.95 USD/mmBTU for natural gas contracts for delivery in January 2024.

Gas storage levels across Europe are at record levels, with inventories now 20% higher than the 10-year average, according to data compiled by Gas Infrastructure Europe (GIE).

In Europe, benchmark natural gas prices were mixed this week, as traders weighed higher heating demand amid colder weather, despite ample storage.

The gas market remains vulnerable to price increases despite ample reserves.

Experts say that with the cold winter weather approaching, gas prices could continue to rise, at least in Europe, due to a surge in demand. Risks to prices remain due to transportation challenges and disruptions in the Middle East.

In the domestic market, from November 1, 2023, the retail price of Petrolimex gas cylinders (including VAT) in the Hanoi market is 438,300 VND/12kg household cylinder; 1,753,000 VND/48kg industrial cylinder, respectively increasing by 4,020 VND/12kg cylinder and 15,880 VND/48kg cylinder (including VAT).

Meanwhile, key gas distribution and trading units in Ho Chi Minh City and the southern provinces and cities also announced that the gas price in November 2023 increased by VND 334/kg, equivalent to VND 4,000/12kg cylinder compared to October this year. Thus, the retail price to consumers in the southern region will fluctuate at VND 467,000/12kg cylinder.

The reason for the increase in domestic retail gas prices in November 2023 is because the average world gas price contract in November was at 615 USD/ton, an increase of 7.5 USD/ton compared to October.

Besides, the fluctuation in USD/VND exchange rate also causes the price of imported gas to Vietnam to increase.

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