Gold price skyrockets to 79 million VND/tael; Hot rolled steel coil price drops sharply after Tet

Gold price skyrockets to 79 million VND/tael

Today, SJC gold price increased by the most 600,000 VND per tael, bringing the price to a peak of 79 million VND per tael, while world gold price decreased slightly.

At the time of survey at 5:00 a.m. on February 27, the gold price on the trading floors of some companies was as follows:

Today's 9999 gold price is listed by DOJI at 76.75 million VND/tael for buying and 78.95 million VND/tael for selling.

SJC gold price at Bao Tin Minh Chau Company Limited is also traded by the enterprise at 77.00 - 78.90 million VND/tael (buy - sell). Meanwhile, at Bao Tin Manh Hai, it is being traded at 77.00 - 78.90 million VND/tael (buy - sell).

According to Kitco, the world gold price recorded at 5:00 a.m. today, Vietnam time, was at 2,033.225 USD/ounce, down 2.15 USD/ounce compared to yesterday's gold price. Converted according to the current exchange rate at Vietcombank, the world gold price is about 59.776 million VND/tael (excluding taxes and fees). Thus, the price of SJC gold bars is still 17.024 million VND/tael higher than the international gold price.

USD weakness persists

Today's USD exchange rate continues to increase strongly by 50 VND in both buying and selling directions, the world USD continues to weaken.

The central VND/USD exchange rate announced by the State Bank is adjusted to 23,996 VND/USD, an increase of 8 VND compared to the trading session on February 26.

Currently, the exchange rate allowed for trading by commercial banks ranges from 23,400 - 25,154 VND/USD. The US Dollar exchange rate has also been brought to the buying and selling range by the State Bank of Vietnam (SBV) from 23,400 to 25,154 VND/USD.

The USD exchange rate at banks and domestic foreign exchange rates this morning recorded a series of upward adjustments at banks. Specifically, Vietcombank has a buying price of 24,470 and a selling price of 24,840, an increase of 50 VND compared to the trading session on February 26. The current USD buying and selling prices are in the range of 23,400 - 25,300 VND/USD.

In the world market, the Dollar Index (DXY), measuring the USD against 6 major currencies (EUR, JPY, GBP, CAD, SEK, CHF), stopped at 103.77 points - down 0.15% compared to trading on February 26.

Hot rolled coil steel price drops sharply after Tet

In Europe, the hot-rolled coil (HRC) market continues to be sluggish, with market participants not ruling out further price declines for the remainder of February.

Currently, HRC from Vietnam is offered to Italy at 620 USD/ton CFR. Meanwhile, offers from Egypt, Japan and Taiwan (China) are around 650 USD/ton CFR.

In the raw material market, iron ore prices fell to their lowest level in nearly four months, as investors were pessimistic about the outlook for Chinese demand; meanwhile, ore supplies from Brazil and Australia remain relatively high compared to previous years.

The HRC steel market continues to be quiet, and the possibility of further price declines in the remainder of February cannot be ruled out.

Suppliers have cut prices for Chinese HRC amid weak demand and weak steel futures in China. With market participants returning from the Lunar New Year holiday, buying sentiment remains weak.

Chinese HRC offers for Q235 and Q195 grades are at $550-555/mt (CFR). Several Q235 HRC deals have been closed around $550/mt (CFR).

Domestic steel prices are still maintaining good output in the short term. According to the Vietnam Steel Association (VSA), construction steel production in January is estimated at more than 1 million tons, down 4.3% compared to the previous month, but up 15.2% compared to January 2023.

Sales are estimated to be equivalent to production. This figure is down 14.5% compared to the previous month but up 18.8% compared to the same period in 2023. Of which, construction steel exports are estimated at 164,057 tons, up 11.2% compared to January 2023.

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