Trade war pushes gold to 6-year high in Vietnam

With the trade war spurring demand, gold prices in Vietnam have risen by 4.97 percent this week to their highest levels in six years.

trade war pushes gold to 6-year high in vietnam hinh 0

On August 8 morning the country’s largest jewelry company DOJI sold gold at VND42.3 million ($1,826) per tael (1.2 ounces), up 0.71 percent from the previous day, and bought at VND41.5 million ($1,792).

Phu Nhuan Jewelry raised its prices by around 0.85 percent to buy at VND41.5 million ($1,792) and sell at VND42 million ($1,812).

After rising by VND2 million ($86.4) since August 5, the prices breached the VND42 million ($1,812) mark for the first time since May 2013.

Global prices rose by $27 per ounce on August 7 to over $1,500 for the first time in six years as the ongoing US-China trade tensions escalate with Washington announcing new tariffs on Beijing, boosting the appeal of safe-haven assets.

Goldman Sachs Group Inc. on August 7 predicted prices would climb to $1,600 in the next six months.

The US government early this week determined that China is a monetary manipulator for the first time since 1994. The US action follows China allowing its yuan to weaken past the key 7-per-dollar level on August 5 for the first time in more than a decade.

Beijing later said it would stop buying US agricultural products, inflaming a year-long trade war with the US.


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