Why is domestic gold price still high even though there is an upcoming supply?

The market will have many gold bar brands and the supply will improve in the coming time. However, in recent days, the domestic gold price has continuously increased and has exceeded the mark of 130 million VND/tael.

Looking back at the domestic gold market last week, we can see that prices fluctuated strongly, continuously breaking record levels.

Gold price exceeds 130 million VND/tael. Photo: HT

On the first day of the week, August 25, the price of SJC gold bars set a new record of over 127 million VND/tael when the buying price remained the same and the selling price increased by 500,000 VND/tael, to 125.6 million VND/tael (buying) - 127.1 million VND/tael (selling).

The next day, the price of precious metals continued to increase by 100,000 VND/tael and 600,000 VND/tael, respectively, to 125.7 million VND/tael (buy) - 127.7 million VND/tael (sell).

By August 27, one day after the Government issued Decree No. 232/2025/ND-CP dated August 26, 2025 amending and supplementing a number of articles of Decree No. 24/2012/ND-CP on the management of gold trading activities, the gold price increased by VND 300,000/tael, to VND 126 million/tael (buy) - VND 128 million/tael (sell).

The price increase of precious metals continued as on August 28, it increased by 1 million VND/tael (buying) and 500,000 VND/tael (selling), to 127 million VND/tael (buying) - 128.5 million VND/tael (selling).

On August 29, the gold price increased by 800,000 VND/tael, surpassing the 129 million VND/tael mark for the first time, reaching 127.8 million VND/tael (buy) - 129.3 million VND (sell).

Notably, on the weekend of August 30, the gold price reached a historical high of 129.1 million VND/tael (buy) - 130.6 million VND/tael (sell) after continuing to increase by 1.3 million VND/tael each way.

Thus, compared to last weekend, the price of SJC gold bars has increased by 4 million VND/tael.

The price of gold rings moved in the same direction as gold bars and set a new record at 122.4 million VND/tael (buy) - 125.4 million VND/tael (sell).

The difference between domestic and world gold prices is generally over 20 million VND/tael, reaching over 21 million VND/tael at the weekend.

Thus, after Decree No. 232/2025/ND-CP was issued, gold prices continued to increase sharply and continuously broke records. This Decree has many notable contents, especially the elimination of the State monopoly mechanism on the production of gold bars, the export and import of raw gold to produce gold bars.

According to some experts, the domestic gold price has increased sharply in recent days because the world gold price has also continuously increased and surpassed the 3,400 USD/ounce mark. In addition, people are lining up to buy gold, causing the price of this precious metal to increase even more.

Decree No. 232/2025/ND-CP will not take effect until October 10, 2025. Meanwhile, policies always have a delay, from the time of policy to the time of officially importing gold, then producing and distributing it to the market is a process that takes a lot of time.

Therefore, it is possible that by next November, domestic gold prices will be able to cool down thanks to increased supply.

Source: https://hanoimoi.vn/vi-sao-gia-vang-trong-nuoc-van-tang-cao-du-sap-co-nguon-cung-714592.html