The global gold price has officially broken the record high of $3,000 per ounce. Domestically, gold prices have also accelerated, continuously hitting new peaks. On March 14, gold ring prices at one point reached VND96.5 million per tael, while SJC gold bars approached VND96 million per tael.

Ngo Tri Long, a respected economic expert, said that several factors have driven the price of gold rings in Vietnam to exceed VND96 million per tael—the highest level in history.

First, global gold prices have surged, at times exceeding $3,000 per ounce, an all-time high. This increase is largely due to heightened demand for safe-haven assets amid global economic and tariff uncertainties. The ever-changing trade policies of the US President Donald Trump have further pushed investors toward gold.

Additionally, domestic demand has risen as individuals and investors increasingly favor gold rings for their flexibility and storage potential. However, the supply of gold rings in the market is not abundant, thus pushing prices up.

Notably, the buy-sell price gap for gold rings fluctuates less than that of gold bars, reducing transaction risks and making them more appealing to investors.

Sharing the same view, economic expert Nguyen Tri Hieu explained that global gold prices are climbing due to multiple factors, with geopolitical issues being the primary driver of the surge.

Moreover, central banks worldwide, including Chinese and Indian, are buying large quantities of gold. Global demand for gold is on the rise.

In particular, investors in the US are concerned about a potential recession as Trump increases tariffs and inflation rises, prompting more people to turn to gold as a safe shelter.

VND100 million per tael to be breached soon

According to Long, given the current upward trend, SJC gold prices in Vietnam could hit VND100 million per tael, especially if global gold prices continue to rise.

Meanwhile, Hieu noted that it is difficult to predict domestic gold prices at this moment.

"Gold bar prices are still under the control of the State Bank of Vietnam (SBV), while gold rings are traded freely. As a result, gold ring prices could reach VND100 million per tael, though it’s hard to pinpoint when. There’s about a 60 percent chance that gold rings could hit VND100 million per tael in this stage," Hieu said.

Hieu thinks that a buy-sell price gap of VND300,000 per tael is ‘acceptable’. The bigger gap of VND300,000-500,000 per tael indicates jewelers are profiting more. However, when the spread exceeds VND1 million, it spells that jewelers are shifting risks onto buyers.

In reality, whenever domestic gold prices "heat up," jewelry stores often widen the buy-sell price gap significantly, at times exceeding VND4 million per tael.

For the long-term health of the gold market, Hieu recommends revising Decree 24 on gold market management immediately, particularly by removing SJC’s national brand status to allow fair competition among gold brands. The market also needs a more abundant gold supply.

"When gold prices soar as they are now, limited supply and a global gold 'fever' will continue to push domestic prices sky-high. The State should permit other gold traders to import gold to provide a more ample supply for the market," Hieu proposed.

Hieu urges investors to exercise extreme caution, as high gold prices could plummet if US President Donald Trump retracts tariff sanctions or if the Ukraine-Russia conflict can be solved.

A sharp drop in global gold prices would force domestic prices down as well. Therefore, investors should avoid following the herd mentality and refrain from borrowing money to buy gold.

In the latest news, domestic gold ring prices on March 17 were adjusted upward by various brands, reaching a record high of VND96.6 million per tael (selling price).

Saigon Jewelry Company (SJC) listed the price of 1-5 tael gold rings at VND94.7-96 million per tael (buying - selling) at the start of the day, up VND500,000 and VND300,000 per tael, respectively.

Doji Gold and Gemstone Group traded 9999 gold rings on March 17 morning at VND95.2-96.6 million per tael (buying - selling), an increase of VND300,000 per tael, respectively. The central exchange rate on March 17, announced by SBV, was VND24,794 per USD, up VND15 from the previous trading session. The greenback prices quoted by commercial banks on March 17 were VND25,300 per USD (buying) and VND25,690 (selling).

Tuan Nguyen