Gold ring price breaks old record, surpassing 85.5 million VND per tael

On the afternoon of October 18, the price of plain round gold rings at Doji Gold and Gemstone Group was VND84.6 - 85.6 million/tael for buying and selling, an increase of VND600,000/tael compared to the morning of the same day. The price of plain round gold rings in Phu Quy was listed at VND84.6 - 85.6 million/tael (buying - selling). Compared to October 17, the price of gold rings increased by nearly VND1 million/tael, and compared to the end of last week, it increased by over VND2 million/tael.

The buying and selling price of plain round gold rings at Bao Tin Minh Chau Company Limited is 84.58 - 85.58 million VND/tael, an increase of 600,000 VND/tael compared to the morning of October 18.

At Phu Nhuan Jewelry Joint Stock Company, the price of gold rings is 84.4 - 85.39 million VND/tael (buy - sell), an increase of 650,000 VND/tael compared to the morning of October 18.

The price of SJC gold bars remained unchanged at the listed price of VND84-86 million/tael. Domestic gold prices increased sharply in the context of rising world precious metal prices, at one point reaching USD2,713/ounce.

For many months now, ordering SJC gold bars online from major brands, as well as plain gold rings, has been very difficult, because demand has always increased dramatically, especially when gold is considered a safe haven asset in the context of volatile world situations, economic and geopolitical conflicts that have caused world gold prices to continue to "escalate".

According to the State Bank's plan to stabilize the SJC gold bar market, four commercial banks: Vietcombank, BIDV, Agribank, VietinBank and SJC Gold Company have implemented direct sales of gold bars to people. Recently, BIDV has expanded its SJC gold bar sales points in Hanoi and Ho Chi Minh City to meet demand and create favorable conditions for customers.

Many economic experts believe that the management agency needs to quickly amend Decree 24/2012/ND-CP regulating gold trading activities, because there are points that are inconsistent with market rules and international practices.

According to Dr. Nguyen Tri Hieu, Director of the Institute for Research and Development of Global Financial and Real Estate Markets, there are two contents that need to be amended in Decree 24: It is necessary to eliminate the monopoly of the national gold brand SJC; The State Bank should withdraw its role as the sole gold importer, assigning the responsibility of gold import to reputable gold traders with financial capacity. From there, regulate the gold market.

"Solving the problem of people investing in gold is a big problem, but we cannot use the solution of tightening the gold market. Tightening like that will only cause more psychological pressure. The more people feel the need to have gold, the more they wait to buy it," said Mr. Nguyen Tri Hieu.

Accordingly, the gold market should be managed with more "open" solutions, gold certificates should be issued, gold should be securitized, and there should be more attractive investment channels; at the same time, people's right to own gold should still be respected but people should understand that owning gold is not beneficial to the economy.

According to the State Bank, in the coming time, the State Bank will continue to implement synchronous solutions for this market. Specifically, it will continue to implement necessary measures according to regulations to control the difference in domestic and international gold prices at an appropriate level under the direction of competent authorities; coordinate with relevant ministries and branches to resolutely carry out inspections and examinations of the gold market, the activities of gold trading enterprises, stores, agents distributing and trading gold bars.

“The State Bank is finalizing a report proposing amendments to Decree 24/2012/ND-CP, including the content on the management of gold bar production, to complete the legal framework for the management of gold trading activities, ensuring adherence to the Party's policies and guidelines, the Government's and the Prime Minister's instructions in managing the gold market; selectively absorbing international experience in managing the gold market, especially from countries with similar business environments and political institutions,” said the State Bank leader.