Gold prices are listed according to "trend"?

After VietNamNet reported the parallel existence of two types of SJC gold bar prices between state-owned commercial banks ( Agribank , Vietcombank, VietinBank, BIDV - also known as the big4 group) and SJC Company with the rest (including joint stock commercial banks (JSCs) and gold and silver trading enterprises), on June 14 and 15, JSCs and gold trading enterprises simultaneously adjusted the listed selling price of SJC gold bars to 76.98 million VND/tael (selling).

This listed price is equal to the price of SJC gold bars sold directly to people by big 4 banks.

Previously, as VietNamNet reported, the listed price of gold bars at the above units was much higher than the selling price of 76.98 million VND at big4 banks and SJC Company.

Typically, HDBank listed the buying price even higher than the selling price of big4 banks (78.5 million VND/tael compared to 76.98 million VND/tael), while the price of SJC gold bars sold by HDBank was up to 82 million VND/tael (5.02 million VND higher than the selling price at big4 banks).

Some commercial banks such as Eximbank,ACB , Sacombank,... also listed selling prices from 78.98-79.98 million VND/tael.

At the end of June 15 until the morning of June 16, except for Sacombank listing the selling price at 77.280 million VND/tael (down 2.7 million VND/tael but still higher than the selling price at big4 banks), other units such as HDBank, ACB, Eximbank, TPBank, ... or businesses such as PNJ, Doji, Phu Quy, Bao Tin Minh Chau, .. have all listed the selling price at 76.98 million VND/tael (equal to the selling price at big4 banks).

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The selling price of SJC gold bars at HDBank suddenly decreased by 5.02 million VND/tael as announced on the website on June 16. Screenshot.

However, speaking with VietNamNet, gold market expert Tran Duy Phuong said that in reality, that price is only the listed price, and in reality, people may not be able to buy at this price.

“They ( commercial banks and gold trading companies other than SJC - PV ) just adjusted it like that, to keep the price following the trend, but in reality they do not have a stable source of gold to sell like big 4 banks. That is the reason these units always reply to customers that they are temporarily out of SJC gold bars,” said expert Tran Duy Phuong.

Regarding some opinions that the above units were forced to sell gold at high prices because they previously bid (from the State Bank) at high prices, this expert said that this was incorrect because after the banks successfully bid for gold, they immediately processed the sale and within 1-2 days, it was all sold out.

“The business principle of these organizations after bidding for gold bars is to sell all the gold bars the next day, so there can be no surplus. They don’t even have gold to sell, so how can they not sell all of it? The reason they don’t sell at the same price as the big 4 is because they are not among the subjects that the State Bank supplies gold to stabilize prices,” Mr. Phuong analyzed.

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Gold prices drop sharply. Photo: Minh Hien
Gold has 2 prices, SJC gold bar prices between banks have large differences Gold has 2 prices, SJC gold bar prices between banks have large differences

Gold two prices, like exchange rate?

According to Mr. Tran Duy Phuong, not only at the above-mentioned commercial banks and gold trading enterprises, the situation of listing the selling price of SJC gold bars much higher than the selling price of the big 4 group also occurs at small retail gold trading stores.

The common buying and selling prices at retail stores today are 80.5 - 82 million VND/tael, respectively.

Once demand is greater than supply, there will naturally be a situation of two gold prices between banks and these units.

This is similar to the current situation of two types of VND/USD exchange rates, in addition to the exchange rate announced by commercial banks, there is also the exchange rate in the free market.

“It is clear that the State Bank has not satisfied the needs of those who want to buy gold. But if the State Bank continues to supply gold to the market as it is now, the gold market will stabilize by early July 2024 at the latest, and the price difference will narrow as people's needs are gradually satisfied,” Mr. Tran Duy Phuong hopes.

However, this expert believes that the price difference between SJC gold bars between big 4 banks and SJC Company and the rest can only be narrowed but can hardly be erased, because there will always be a price difference as mentioned above. Accordingly, customers who do not want to wait will look for sales channels outside of big 4 and SJC Company.

List of points selling SJC gold bars at stable prices here!