World gold sets new peak, experts warn of risks

Domestic gold prices on the morning of September 14 remained “stuck” while world gold prices set a new peak. Currently, SJC gold is only about VND3.65 million/tael higher than world gold and 9999 gold rings are VND2.25 million/tael higher.

At around 9:15 a.m., the price of 9999 gold rings was anchored by businesses at the peak price set yesterday. Specifically, SJC Company listed it at 77.8 million VND/tael for buying and 79.1 million VND/tael for selling. PNJ Company traded at 77.9 million VND/tael for buying and 78.7 million VND/tael for selling. The price remained unchanged from the previous day.

SJC gold price also remained unchanged: SJC Company, PNJ, Doji Group still traded SJC gold at 78.5 million VND/tael for buying and 80.5 million VND/tael for selling, unchanged from yesterday.

In the world gold market, the closing price of gold in New York on the night of September 13 continued to increase to 2,577.7 USD/ounce, an increase of 19.4 USD/ounce compared to the previous session. The closing price of gold on the Kitco floor at the end of the week continued to increase to 2,578.7 USD/ounce - surpassing the peak just set to establish a new peak. This price after conversion is equivalent to 76.85 million VND/tael, about 3.65 million VND/tael lower than SJC gold and about 2.25 million VND/tael lower than 9999 ring gold.

World gold prices continued to rise sharply in the context of the USD falling quite rapidly. The DXY index - measuring the fluctuations of the USD compared to a basket of 6 major currencies - fell to 101.1 points. This index has decreased by 0.06% this week and decreased by 1.32% in the past 1 month.

Traders are betting on a 100% chance of the Federal Reserve cutting interest rates further at its meeting on September 17-18, according to data from the CME Group's FedWatch Tool. The probability of a quarter-point cut has fallen to 55% from more than 70% at the start of the week. The probability of a half-point cut has risen to 45%, from less than 30% at the start of the week, according to data from the CME Group's FedWatch Tool.

According to some analysts, the $3,000/ounce mark is the target of gold bulls. Factors supporting the price of this precious metal in the medium term include the loosening of monetary policies of major central banks and the US presidential election in November. However, experts warn: the strong surge and consecutive new record highs also pose a potential risk of the world gold price turning down, although in the long term, this commodity is forecast to remain in an upward trend, possibly reaching $2,700/ounce, or even $3,000/ounce in 2025.

Nhung Nguyen

Source: https://www.sggp.org.vn/vang-the-gioi-thiet-lap-dinh-moi-chuyen-gia-canh-bao-rui-ro-post758865.html