Gold demand triples in Q3
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Vietnam’s gold demand more than tripled to 12 tons in the third quarter from 3.3 tons a year earlier. Bullion and coin sales rose to 8.5 tons from 2.4 tons, and jewelry sales to 3.5 tons from 0.9 tons, according to a report by the World Gold Council.
“Vietnam saw a particularly significant year-on-year rise in demand. It more than tripled as local investors again sought refuge in gold, with high demand for rings and SJC tael bars.”
The rise in jewelry demand comes amid Vietnam’s particularly robust recovery, with healthy GDP growth, incomes boosted by reversed salary cuts and companies returning to full employment, the report added.
The price of gold sold at state-owned distributor SJC had fallen to VND65.2 million per tael (37.5 grams) at the end of September but has since risen 3.8% to around VND67.7 million now.
Global gold demand (excluding over-the-counter trading) in the third quarter rose 28% year-on-year to 1,181 tons.
Questions & Answers
Q.What contributed to the significant increase in gold demand in Vietnam during the third quarter?
What contributed to the significant increase in gold demand in Vietnam during the third quarter?
Demand for gold in Vietnam more than tripled as local investors sought refuge in it. This was also supported by the country's robust economic recovery, healthy GDP growth, and boosted incomes from reversed salary cuts.
Q.How did the sales of bullion, coins, and jewelry contribute to the overall gold demand increase?
How did the sales of bullion, coins, and jewelry contribute to the overall gold demand increase?
Bullion and coin sales rose significantly to 8.5 tons from 2.4 tons a year earlier. Jewelry sales also saw a substantial increase, reaching 3.5 tons compared to 0.9 tons in the previous year.
Q.Has the price of gold in Vietnam changed since the end of September?
Has the price of gold in Vietnam changed since the end of September?
Yes, the price of gold sold by SJC has risen since the end of September. It was VND65.2 million per tael then but has since increased by 3.8% to approximately VND67.7 million currently.
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