Gold hikes to near VND57 million per tael, VN-Index plunges nearly 44 points

The global gold price hit the highest level in history, prompting the price of gold in Vietnam to surge by nearly VND2 million per tael to near VND57 million per tael on July 27.

Saigon Jewelry Company bought gold at VND55.45 million per tael and sold at VND56.92 million per tael, an increase of VND1.95 million per tael in buying rate and VND1.9 million per tael in selling rate, at around 4.30 p.m. in Ho Chi Minh City.

At the same time in Hanoi, Bao Tin Minh Chau Jewelry Company traded gold at VND55.4 million per tael for buying and VND56.65 million per tael for selling, up VND1.65 million per tael in buying rate and VND1.97 million per tael in selling rate.

Due to large fluctuations of the SJC gold price, gold trading companies widened the gap between buying and selling prices to nearly VND1.5 million per tael. On the global gold market, the price of gold increased by US$30 an ounce compared to the previous session, to $1,930 an ounce at about 11 a.m. on July 27 Vietnamese time, surpassing the record high of $1,920 an ounce set in 2011. With the continuous rising momentum of gold price recently, analysts forecasted that the global gold price will reach $2,000 an ounce in the next few sessions. After conversion, this price was equivalent to about VND54.1 million per tael, lower than SJC gold price by about VND2.9 million per tael.

Information about new Covid-19 cases in the community in Da Nang last weekend has made investors’ sentiment become pessimistic in the first trading session of this week. Since the beginning of the trading session, the sell-off situation occurred in the whole market, specifically in many sectors, including banking, gas and oil, real estate, seafood, and garment and textile, dragging down the VN-Index by more than 30 points. During the trading session, despite bottom-catching demand, the benchmark lost nearly 44 points due to strong selling pressure. There were up to 16 stocks in the VN30 basket hit the bottom, namely BVH, PNJ, PLX, VNM, CTG, BID, HDB, and TCB. Other large-cap stocks also slumped. Of which, VHM fell 6.7 percent; GAS dived 6.3 percent; VCB dumped 4.9 percent; SAB collapsed 4.5 percent.

The VN-Index retreated 43.99 points, or 5.31 percent, to close at 785.17 points with 33 stocks increasing, 377 decreasing, and 20 remaining unchanged.

The HNX-Index of the smaller bourse in the North plummeted 6.48 points, or 5.93 percent, to finish at 102.85 points with 21 winners and 163 losers.

Market liquidity reached VND8.2 trillion, of which, matching orders accounted for more than VND7.1 trillion, down 10 percent compared to the previous trading session. However, the highlight of the first trading session of this week was that foreign investors continued to net buy VND303 billion.