Lack of supporting factors to break out

Update on the closing price of gold on February 6: As of 7:00 p.m., the domestic gold price fluctuated around VND 76.05 million/tael (buy) - VND 78.35 million/tael (sell). Meanwhile, the world gold price dropped sharply to USD 2,023.8/ounce.

Domestic gold price

The current difference between buying and selling gold prices is listed at around 2.3 million VND/tael. This difference is considered very high. Investors face the risk of loss when businesses push the risk onto buyers.

World gold price

Gold Price Forecast

World gold recovered amid a slight decrease in the USD. At 7:00 p.m., the US Dollar Index, which measures the greenback's fluctuations against six major currencies, was at 104.297 points (down 0.02).

Ajay Kedia - Director of Kedia Commodities in Mumbai (India) said that with the US Federal Reserve (FED) pushing back its interest rate cut plan and strong economic data in the US, there is nothing to support gold other than tensions in the Middle East.

Meanwhile, Colin Cieszynski - chief market strategist at SIA Wealth Management commented that gold prices will decrease in the context of the rising USD. For gold prices to increase, it needs more external catalysts such as issues related to politics , war or banking.

According to Everett Millman - Director of market analysis at Gainesville Coins, gold prices will stay flat or below $2,000/ounce if there is a sell-off.

Source