Global Gold Prices Rise 1.7% as Gold Prices in Vietnamese Dong Also Climb

On November 9, spot gold closed at $4,140.9 per ounce in New York, up $68.8, or 1.7%, from the previous week’s close. Spot silver closed at $53.56 per ounce, up 2.9%; December gold futures on the New York Mercantile Exchange closed at $4,114.5 per ounce, up 1%.

Brent crude futures fell more than 5% that day to below $93 per barrel. The Dollar Index, which measures the U.S. dollar against six major currencies, fell more than 0.6% to close at around 101.7. Lower oil prices eased concerns about inflation and interest rates remaining high for longer, while a weaker dollar supported gold, which is priced in dollars. However, CME interest rate futures data still showed that markets put the probability of a Federal Reserve rate increase in December at 84%.

SPDR Gold Trust, the world’s largest gold exchange-traded fund, bought a net 1.1 metric tons of gold on the first trading day of the week, raising its holdings to 1,042.5 metric tons. Investors will also watch the U.S. consumer price index due on November 10 and producer price index due on November 13 for clues to the future path of interest rates. Analysts say continued attacks on vessels near the Strait of Hormuz could cause oil prices to rebound, so pressure on gold prices has not fully subsided.

At 7:15 a.m. Vietnam time on November 10, spot gold in the Asian market was quoted at around $4,137 per ounce, down more than 0.1% from the U.S. market close; spot silver was quoted at $53.5 per ounce. Converted at Vietcombank’s U.S. dollar selling rate, gold was worth about 128.1 million Vietnamese dong per tael, up 1.8 million dong from the previous morning. At the same time, the bank quoted U.S. dollar buying and selling rates of 25,290 dong and 25,700 dong, respectively, both down 80 dong from the previous morning.

Source: VietVance