Gold Prices Today, October 29: Global Market Continues to Decline Sharply
Spot gold prices in the Asian market at 6:30 AM on October 29 (Vietnam time) were trading around $3,950/ounce, down more than $41/ounce compared to the previous session.
Spot gold in the U.S. market closed early this morning (Vietnam time) near $3,949/ounce, dropping over $31/ounce from the previous closing level.
According to Kitco News, global gold prices continued to fall sharply during early Tuesday trading in the U.S., as selling pressure persisted following a steep decline on Monday. Gold hit its lowest level in the past three weeks.
The main driver is believed to be growing optimism in global financial markets following positive news about the progress in U.S.–China trade negotiations and expectations that the Federal Reserve will cut interest rates slightly in the near future. As safe-haven demand weakens, capital is flowing into riskier assets such as equities, putting strong pressure on gold.
Experts believe the short-term outlook for gold will depend heavily on the Fed’s message at this meeting. If the Fed signals maintaining current policy or only a mild rate cut, the U.S. dollar could strengthen, creating additional downward pressure on gold. Conversely, any indication of more aggressive easing could support a rebound in gold prices.
Although central bank gold demand has cooled in recent months as prices have surged nearly parabolically to record highs above $4,000/ounce, this sector is still expected to remain a major driving force in the market.
At the annual LBMA Global Precious Metals Conference, the Bank of Korea expressed interest in increasing its gold reserves.
Heung-Soon Jung, Director of the Reserve Investment Division at the Bank of Korea, said in a presentation that although the bank has not purchased gold since 2013, it is considering additional gold purchases in the medium to long term.
“The bank will continue to monitor domestic foreign exchange market developments and international gold market trends to determine the appropriate timing and scale for any gold investment. Given its role as an inflation hedge and a potential alternative investment to the U.S. dollar, gold should clearly be viewed as a viable asset from a medium- and long-term perspective,” Jung noted.
Domestic Gold Prices Continue to Drop Sharply
Gold prices in Vietnam on October 29 recorded another steep decline for both SJC gold bars and gold rings, following the global downtrend.
Accordingly, SJC gold bars at Doji in both Hanoi and Ho Chi Minh City traded around VND 143.1 – 145.1 million/tael (buy – sell), plunging VND 3.8 million/tael on the buying side and VND 3.3 million/tael on the selling side compared to the previous session. The bid-ask spread stands at VND 2 million/tael.
At Bao Tin Minh Chau, SJC gold was listed at VND 143.5 – 145.1 million/tael, down VND 2.4 million (buy) and VND 3.3 million (sell). The spread is VND 1.6 million/tael.
At Phu Quy, SJC gold bars traded around VND 142.6 – 145.1 million/tael, dropping VND 2.7 million/tael on the buying side and VND 3.3 million/tael on the selling side. The spread remains at VND 2.5 million/tael.
For gold rings, Thang Long Dragon gold rings at Bao Tin Minh Chau traded at VND 144.8 – 147.8 million/tael, down VND 4.2 million/tael on both sides compared to the previous session. The spread is VND 3 million/tael.
Doji Hung Thinh Vuong 9999 gold rings in Hanoi were listed at VND 142 – 145 million/tael, plunging VND 3.8 million (buy) and VND 3.3 million (sell). The spread is VND 3 million/tael.
At Phu Quy, 999.9 gold rings were traded around VND 142 – 145 million/tael, down VND 3.4 million/tael on both sides. The spread is VND 3 million/tael.
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