Gold prices rebounded sharply after a series of consecutive declines

October 11, 2024 11:03 Nhat Linh Print article

ANTD.VN - After continuous adjustments since the beginning of the month, world gold prices had a significant recovery session after US inflation data was released.

World gold prices increased sharply in the midday trading session in the United States on Thursday (last night Vietnam time). As of 10:00 a.m. Vietnam time, spot gold was trading around $2,642.5/ounce, up more than $34 in the session, equivalent to an increase of 1.31%.

Gold prices bounced back after more than 10 days of declines following a slightly warmer-than-expected US inflation report, and after US weekly jobless claims unexpectedly rose.

Specifically, the US consumer price index in September was just announced to have increased 0.2% compared to the previous month, compared to the expectation of 0.1%. This index also increased 2.4% compared to the same period last year, slightly lower than the 2.5% figure in August.

Core CPI (excluding food and energy) rose 0.3% month-on-month, compared with expectations for a 0.2% increase. Year-on-year, core CPI rose 3.3% in September, compared with a 3.2% increase in August.

Meanwhile, US weekly jobless claims rose more than expected, reaching 258,000 compared to expectations for an increase of only 230,000.

Weaker-than-expected US economic data benefits gold

Overall, today's US data is seen as positive for the precious metals market, with gold once again proving its worth as a store of value as stocks and cryptocurrencies tumble.

Analysts noted that the risk-on asset environment, including cryptocurrencies and stocks, has come under pressure following economic indicators showing persistent inflation and rising unemployment.

This has changed market expectations, erasing predictions of a strong interest rate cut by the Fed. Accordingly, the expectation rate of a 25 basis point interest rate cut in November increased to 86% from 80% in just one day; and the expectation of a similar cut in December also increased to 88% from 79%. The CME FedWatch tool even shows that the possibility of the Fed keeping interest rates unchanged next month is 17%.

Meanwhile, expectations for a significant 75 basis point cut by year-end have plummeted to zero from 45% last week.

Domestically, SJC gold price today remains unchanged at 82.50 - 84.50 million VND/tael for buying and selling.

Meanwhile, gold rings recovered, regaining the threshold of 83 million VND/tael thanks to an increase of about 200,000 VND per tael in this morning's session.

Accordingly, Bao Tin Minh Chau's Thang Long Gold round ring is listed at 82.12 - 83.02 million VND/tael; Phu Quy round ring 82.15 - 83.10 million VND/tael; DOJI Hung Thinh Vuong ring 81.15 - 83.05 million VND/tael; SJC 999.9 ring 81.50 - 82.90 million VND/tael...

Source: https://www.anninhthudo.vn/gia-vang-bat-tang-manh-sau-chuoi-giam-lien-tiep-post592268.antd