Gold hits new peak: Should you buy or wait?

World gold prices continuously broke records, while the domestic market was also "hot" with sessions of unstoppable increase, pushing the price of SJC gold bars to over 100 million VND/tael.

Investors are confused, those who have gold are hesitant to take profits, those who have not bought are worried about missing out. In the midst of the gold rush, the "hot" question is more urgent than ever: Should I buy gold now or continue to wait?

According to analysis from international experts, the increase in gold is mainly supported by three major drivers: global geopolitical tensions, expectations that the US Federal Reserve (FED) will cut interest rates in 2025, and record buying power from central banks, especially China, India, and Türkiye. In the context of global economic instability, gold is considered a safe haven, an asset that preserves value against financial storms.

Gold - safe haven asset?

There is no denying that gold is playing its traditional role as a “safe haven asset.” When geopolitical instability erupts (Russia-Ukraine, Israel-Hamas) or the risk of economic recession looms in some countries, money immediately flows into gold.

Gold prices hit their peak, many people rushed to buy. But is this the right time? Illustration photo

However, according to analysts, the current price level is not only driven by fundamental factors but also by crowd psychology and excessive expectations. Individual investors, especially in Asia, are rushing to buy gold as a “defensive reaction”, causing prices to rise unreasonably. History shows that each time gold surpasses its peak too quickly, it is followed by strong corrections, typically in 2011 or 2020.

Speculation or long term investment?

For individual investors, buying gold at this time should be carefully considered. If the goal is to preserve assets and value, gold is still a safe choice in the medium and long term.

But if you expect to make a profit by surfing, the risk is very high. The current fluctuation range of gold prices is up to several hundred thousand dong per day, which can "blow away" profits in the blink of an eye if the market reverses.

Moreover, the gap between domestic and world gold prices is still widening. This makes buying gold at this time potentially risky.

Don't follow the crowd.

According to experts, many people see the sharp increase in gold prices and are afraid of “missing the opportunity”, rushing to buy without careful analysis. This is the time when “emotional traps” are most active, easily causing investors to buy at the peak.

In addition, daily gold price fluctuations can be up to several hundred thousand VND/tael, but the difference between buying and selling is also very high (even 1-2 million VND). If buying and selling in the short term, investors can lose transaction fees and profit margins, not to mention the risk of very quick reversal.

Buyers need to clearly define their goals - to keep the asset or to make a profit? If you want to keep the asset for the long term, you should divide your capital, buy and accumulate in parts, not "spend all your capital" at once. If you want to surf for profit, consider carefully because the market is currently "overheated", a correction wave can happen at any time.

At 8:55 a.m. today (April 12, Vietnam time), the world spot gold price was at 3,236 USD/ounce, up 5 USD/ounce compared to last night. The price of gold futures for June 2025 on the Comex New York floor was at 3,244.6 USD/ounce.

On the morning of April 12, the world gold price converted to USD bank price was over 102.1 million VND/tael, including tax and fees, about 4.1 million VND/tael lower than the domestic gold price.

Thanh Binh

Source: https://congthuong.vn/vang-lap-dinh-moi-nen-mua-hay-cho-382656.html