On 2/9, domestic brands simultaneously raised gold ring prices to record levels. Phu Nhuan Jewelry Joint Stock Company (PNJ) and DOJI Gold & Gems Group listed plain gold rings at 124.5 - 127.5 million VND per tael. Bao Tin Minh Chau announced the price of plain rings at 124.7 - 127.7 million VND per tael.

Over the past two weeks, the price of gold rings has increased by 8 million VND per tael, equivalent to a 6% adjustment.

Plain gold ring transactions at a store. Photo: Quynh Tran

Meanwhile, gold bars remained unchanged during the holidays, holding steady around 128.6 - 130.6 million VND per tael.

In the international market, spot gold prices set a new record of over 3,508 USD per ounce in the first trading session of the week, surpassing the previous peak set in April. On the afternoon of 2/9, Hanoi time, gold was holding around 3,479 USD per ounce, equivalent to 111.2 million VND per tael when converted at Vietcombank's selling exchange rate.

The rally was fueled by expectations that the US Federal Reserve (Fed) will cut interest rates this month, after Chairman Jerome Powell hinted at the possibility of an adjustment. The jobs report due out later this week is expected to further show a cooling labor market, reinforcing the basis for an interest rate cut. This further increases the attractiveness of gold, a non-yielding but safe asset.

Speaking to Bloomberg, UBS strategist Joni Teves said that investors are increasing their gold holdings, especially as the Fed prepares to cut interest rates, thereby pushing prices higher.

"Our base case is that gold will continue to set new highs in the coming quarters. A lower interest rate environment, less positive economic data, and sustained geopolitical risks reinforce gold's role in portfolio diversification," he said.

Not only gold, but silver also increased sharply in price. At the same time, silver's return continues to outperform gold. International silver prices have risen about 40% since the beginning of the year, exceeding 40 USD per ounce for the first time since 2011. In addition to its safe-haven role, silver is also widely used in clean energy technology, especially in the production of solar panels. With strong demand, the silver market has fallen into a shortage for the fifth consecutive year, according to the Silver Institute.

Domestically, silver bar prices also hit a new high. This afternoon, Phu Quy Gold Investment Joint Stock Company listed silver around 1.55 - 1.6 million VND per tael. The price of silver bars at Ancarat Precious Metals Joint Stock Company rose to 1.54 - 1.58 million VND.

Quynh Trang