Domestic gold prices fall sharply on global market slump

SJC gold was listed at VND82.8 - 85.3 million per tael, representing a decrease of about VND2 million per tael on buying and VND1.5 million per tael on selling compared to the close of trading on November 25.

Gold rings also dropped to below VND85 million per tael across the market, with SJC adjusting its prices to VND82.7 - 84.8 million per tael, and DOJI setting its prices at VND83-84.7 million per tael, down approximately VND1.3 million per tael on buying and VND1.1 million per tael on selling.

Similarly, gold rings at Bao Tin Minh Chau and PNJ also saw sharp declines, now listed at VND84.58 - 85.98 million per tael and VND83.5-84.9 million per tael, respectively.

Globally, after a surge of over US$150 per ounce last week, which saw gold prices exceed US$2,700 per ounce, the precious metal has retraced and is now hovering around US$2,600 per ounce.

Key drivers behind the decline include the positive mood in US stock markets at the start of the week, supported by a shortened trading session due to the Thanksgiving holiday. This shift in sentiment typically reduces demand for safe-haven assets like gold. Additionally, there are reports suggesting that Israel and Hamas may be nearing a ceasefire agreement, further improving risk sentiment.

Another contributing factor is the potential appointment of Scott Bessent, a hedge fund manager, as the US Secretary of the Treasury under the incoming Trump administration, which has increased investor confidence in the US financial system. This confidence, along with expectations for stable financial leadership, has led to rising US Treasury yields over the past few weeks.