Gold gains as dollar drops

Gold climbed above VND21 million a tael, VND50,000 higher than last week, on July 20, as global gold prices opened the week on a rising trend.

Saigon Jewelry, the biggest gold shop in Vietnam, said it bought gold at VND20.98 million a tael (1.2 ounces) and sold at VND21.04 million.

At Sacombank Jewelry, bullion was bought at VND20.97 and sold at VND21.03 million.

High prices have nearly frozen the market, said Hoang Minh Lan, store manager of Saigon Jewelry’s Hanoi branch, adding that trading volume was low at a few hundred taels a day.

Meanwhile, compared with the gold jewelry market, trading remained high on gold exchanges.

On SBJ trading floor, nearly 265,000 taels changed hands at around VND20.03-20.22 million (US$1,124.7 – 1,135.3)

Continuing last week’s advance, gold for immediate delivery gained $3.6 to $942.3 an ounce on Asian markets.

Higher oil prices and a weaker dollar prompted investors to seek the precious metal as a store of value.

The greenback against the euro was around $1.42 this morning. Last week, the dollar lost 1.2 percent compared with the euro.

Crude oil for August delivery rose 60 cents, 0.9 percent, to $64.16 a barrel in after-hours electronic trading on the New York Mercantile Exchange.

Prices were at $64.02 at 12:31 p.m. Singapore time. Oil has gained 44 percent this year.

Compiled by Thuy Doan

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