Gold price increases as buying momentum returns, still lower than SJC by more than 12 million VND, inflation-recession scenario has appeared

Gold prices today, August 30, 2023, did not change too much before an important week for US economic reports. Investors still want to wait for new news to better understand the health of the world's most influential economy. However, the precious metal is seeing some buying momentum as the US labor market shows signs of cooling.

LIVE UPDATE TABLE OF GOLD PRICE TODAY 8/30 AND EXCHANGE RATE TODAY 8/30

1. PNJ - Updated: August 30, 2023 04:00 - Website supply time - ▼ / ▲ Compared to yesterday.
Type	Buy	Sell out
HCMC - PNJ	56,100	57,100
HCMC - SJC	67,450	68,100
Hanoi - PNJ	56,100	57,100
Hanoi - SJC	67,450	68,100
Da Nang - PNJ	56,100	57,100
Da Nang - SJC	67,450	68,100
Western Region - PNJ	56,100	57,100
Western Region - SJC	67,850	68,150
Jewelry gold price - PNJ rings (24K)	56,100	57,000
Jewelry gold price - 24K jewelry	55,900	56,700
Jewelry gold price - 18K jewelry	41,280	42,680
Jewelry Gold Price - 14K Jewelry	31,920	33,320
Jewelry gold price - 10K jewelry	22,340	23,740

The world gold price traded at 9:00 p.m. on August 29 (Vietnam time) on Kitco floor at 1,932.70 USD/ounce, an increase of 13.1 USD compared to the previous session, recorded by TG&VN . The December gold futures price was last traded at 1,957.10 USD/ounce, up 0.54% during the day.

Gold edged up slightly, hovering near its highest level since August 10, as the dollar fell and US Treasury yields showed signs of falling, ahead of US inflation and jobs data. Speculators expect gold to hover around the resistance level of $1,907 an ounce in the short term.

The dollar fell against a basket of major currencies, while the yield on the 10-year US Treasury note retreated further from its highest level since 2007 reached last week. A weaker dollar makes gold cheaper for buyers using other currencies.

Gold price today August 30, 2023: World gold price increased sharply, still lower than SJC gold by more than 12 million VND, the scenario of inflation and recession has appeared. (Source: Shutterstock)

Domestic gold prices increased slightly by 50,000 VND/tael in both buying and selling directions. SJC gold price in the domestic market today is trading at over 68 million VND/tael for sale.

Converting world gold price according to USD exchange rate at Vietcombank: 1 USD = 24,190 VND, world gold price is equivalent to 55.94 million VND/tael, 12.21 million VND/tael lower than SJC gold selling price at the end of August 29.

Summary of SJC gold prices at major domestic trading brands at the closing time of the trading session on August 29:

Saigon Jewelry Company listed the price of SJC gold at 67.55 - 68.17 million VND/tael.

Doji Group currently lists SJC gold price at: 67.30 - 68.20 million VND/tael.

Phu Quy Group currently lists the price of SJC gold at: 66.45 - 67.05 million VND/tael.

PNJ system listed at: 67.45 - 68.10 million VND/tael.

SJC gold price at Bao Tin Minh Chau is listed at: 67.57 - 68.14 million VND/tael; Rong Thang Long gold brand is traded at 56.11 - 56.96 million VND/tael; jewelry gold price is traded at 55.65 - 56.75 million VND/tael.

Will gold prices rise again?

According to OANDA market analyst Kelvin Wong , the precious metals market saw some short covering activity as gold prices broke through the key resistance level of $1,907. Comments from US Federal Reserve Chairman Jerome Powell showed that the inflation war is not over yet and therefore the inflation-plus-recession scenario has started to reappear.

With interest rates rising, consumer spending is likely to slow and a recession is almost inevitable, which would lead to lower bond yields and a weaker US dollar, and gold prices could rise again, Heraeus analysts note.

Among the US economic data scheduled for release this week, investors are watching the personal consumption expenditures (PCE) price index - a measure of US inflation, released on Thursday (August 31) and the non-farm payrolls report on Friday (September 1).

If the numbers are strong, it could mean wage stress and higher inflation prospects, making the Fed more likely to keep interest rates high for a long time, said Bart Melek, head of commodity strategy at TD Securities .

Mr Melek said gold could then fall back to $1,900 an ounce if the data remains strong. There is even a possibility that gold could fall to $1,840 an ounce.

At the annual symposium in Jackson Hole, Wyoming, last week, Fed Chairman Jerome Powell said the central bank may need to raise interest rates further to cool inflation that remains too high. Gold prices are sensitive to US interest rate moves, as higher interest rates strengthen the dollar but significantly reduce the appeal of non-yielding assets such as gold.

Investors are now betting the Fed has a 56% chance of delivering another rate hike in 2023 and a 40% chance of keeping rates on hold for the rest of the year, according to the CME FedWatch tool.

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings rose 0.3% on August 28.

Source