Gold prices soar amid US election wave, BRICS gold rush, gold rings shatter all records

Gold price today October 22, 2024: Gold prices skyrocketed amid global instability, reaching an all-time record high. BRICS countries increased their gold reserves, increasing their economic power and influence. Gold ring and SJC prices both increased.

Update gold price today October 22, 2024

Domestic gold prices skyrocketed on the morning of October 21.

Opening the trading session on the morning of October 21, large enterprises such as Saigon Jewelry Company (SJC), Phu Nhuan Jewelry Company (PNJ), Doji Jewelry Group ... simultaneously increased the price of SJC gold bars by 2 million VND per tael in both directions, to 86 - 88 million VND/tael (buy - sell).

Four state-owned banks (Vietcombank, Agribank , BIDV, Vietinbank) also listed the selling price of SJC gold bars at 88 million VND/tael, an increase of 2 million VND/tael compared to early this morning. The gold price was adjusted up by banks after the State Bank adjusted the selling price (up to 87 million VND/tael).

Sharing the same upward trend, the price of gold rings continued to increase sharply, breaking the previous record. Bao Tin Minh Chau Company listed the price of gold rings at 85.38 - 86.38 million VND/tael for buying and selling, an increase of 700,000 VND/tael compared to early this morning. Doji Group listed the price of gold rings at 85.55 - 86.5 million VND/tael, an increase of 800,000 VND/tael.

Gold price today October 22, 2024: Gold price 'skyrockets' amid US election wave, gold rush in BRICS, gold rings shatter all records. (Source: PR)

Summary of gold prices at major domestic trading brands at the closing time of the trading session on the afternoon of October 21:

Saigon Jewelry Company SJC: SJC gold bars 86 - 88 million VND/tael; SJC gold rings 84.9 - 86.2 million VND/tael.

Doji Group: SJC gold bars 86 - 88 million VND/tael; 9999 round rings (Hung Thinh Vuong) 86 - 87 million VND/tael.

PNJ system: SJC gold bars 86 - 88 million VND/tael; PNJ 999.9 plain gold rings: 85.8 - 86.75 million VND/tael.

Phu Quy Gold and Silver Group: SJC gold bars 86 - 88 million VND/tael; Phu Quy 999.9 round gold rings: 86 - 87 million VND/tael.

SJC gold price at Bao Tin Minh Chau is listed at 86 - 88 million VND/tael. The price of round, smooth gold rings at Vang Rong Thang Long is listed at 85.98 - 86.98 million VND/tael.

According to the World & Vietnam Newspaper , information on Kitco News , as of 6:28 p.m. Vietnam time on October 21, the world gold price was listed at 2,736.8 USD/ounce, an increase of 15 USD/ounce compared to the previous trading session.

Converted according to USD price at Vietcombank on October 21, 1 USD = 25,430 VND, world gold price is equivalent to 83.85 million VND/tael.

Global instability pushes gold prices to record high

World gold prices rose for a fifth consecutive day on October 21, hitting a record high due to uncertainty surrounding the US election, ongoing tensions in the Middle East and expectations of interest rate cuts by central banks.

Spot gold rose 0.5% to $2,733.50 an ounce as of 09:10 GMT, after hitting an all-time high of $2,733.82 earlier in the day. US gold futures rose 0.7% to $2,748.20 an ounce.

“The uncertainty surrounding the outcome of the US presidential election is one factor supporting safe-haven demand for gold, while the other could be geopolitical tensions in the Middle East,” said UBS analyst Giovanni Staunovo .

The race for the US presidency between former President Donald Trump and Vice President Kamala Harris is taking place fiercely in 7 battleground states.

Meanwhile, in the Middle East, hundreds of people in Beirut (Lebanon) have had to leave their homes as Israel prepares to attack locations related to the financial activities of the Hezbollah group.

Gold, seen as a hedge against political and geopolitical uncertainty, has gained 32% this year.

"In my view, continued steady demand from central banks also supports gold. We expect gold to reach $2,900/ounce in the next 12 months, supported by continued rate cuts by the Fed," added analyst Staunovo.

Traders are pricing in a 90% chance that the Federal Reserve will cut interest rates in November, according to CME's FedWatch tool. Gold tends to thrive in a low-interest-rate environment.

The European Central Bank (ECB) is likely to cut interest rates further in December, sources said, while UK inflation fell sharply last month, reinforcing expectations that the Bank of England will cut interest rates in November, Reuters reported.

Previously in the session on October 21, in the Asian market, gold prices continued to increase and set a new peak.

Soni Kumari , commodity strategist at ANZ bank, said the rally in gold prices this month was driven by safe-haven demand due to geopolitical tensions in the Middle East and uncertainty surrounding the US election.

Investors are also keeping an eye on news that China cut its benchmark lending rate, following reductions in other policy rates last month, as part of a stimulus package to revive the economy. Gold demand in China, the world’s top consumer, has been hit by high prices and slowing economic growth.

Gold rush in BRICS

The BRICS group of leading emerging economies holds 20% of the world's gold. What does this mean for the global economy?

According to Jpost, a recent report from the World Gold Council revealed that the BRICS countries (Brazil, Russia, India, China and South Africa) together hold more than 20% of the world's gold reserves. This significant amount of reserves underscores the growing economic power and influence of these emerging economies. Accordingly, Russia tops the list with 2,340 tons of gold, accounting for 8.1% of global reserves. China follows closely behind with 2,260 tons, contributing significantly to the BRICS gold reserves.

While Russia and China hold the bulk of the bloc's gold (74%), other BRICS nations also possess significant reserves, with India leading the rest with 840 tonnes.

The significant gold holdings of the BRICS countries have several important implications, cementing their position as major economic actors on the international stage. Gold is a stable asset that can help mitigate economic risks and protect against inflation.

Additionally, a BRICS currency, backed by gold, could challenge the dominance of the US dollar and change the global balance of power.

Growing demand for gold, driven by factors such as central bank buying and economic uncertainty, presents potential investment opportunities for the precious metal.

The BRICS summit in Kazan, Russia, is expected to provide more details about the new currency and a potential launch date. The introduction of a BRICS currency could accelerate the trend of de-dollarization as many countries seek to reduce their dependence on the greenback. The new currency could also have implications for gold prices, as increased demand from central banks and investors could boost its value.

In short, as BRICS nations continue to expand their influence and explore new economic models, their gold reserves and the emergence of a new currency could have far-reaching implications for the global financial system. Investors and policymakers should closely monitor these developments to understand their potential impact on markets and economies around the world.

Source: https://baoquocte.vn/gia-vang-hom-nay-22102024-gia-vang-boc-dau-chong-mat-giua-song-bau-cu-my-con-sot-vang-o-brics-vang-nhan-xe-tan-moi-ky-luc-290857.html