Gold prices gain 8.7% in 2022

Updated: 14:20, 01/01/2023

SJC gold prices rose 0.45% to VND67 million ($2,834.78) per tael Saturday morning, a 8.7% rise from the beginning of this year.

•Bac Giang wins 14 golds and 17th position at National Sports Games

•Bac Giang athletes bag two golds more at National Sports Games

•Bac Giang star runner Nguyen Thi Oanh wins fourth gold, breaks national record

Gold ring prices gained 0.28% from Friday to VND53.85 million. A tael equals 37.5 grams or 1.2 ounces.

Global spot gold at $1,821.50 an ounce is on course to wrap up 2022 about 0.4% lower, Reuters reported.

A person holds gold jewelry at a shop in Ho Chi Minh City.

This year bullion came very close during the early days of the Ukraine crisis to touching the all-time highs above $2,000 hit in 2020 as countries around the world locked down.

The U.S. currency’s climb to 20-year peaks this year eroded demand for dollar-priced bullion, which is down $250 since the March peak.

"In light of the fact that gold is a zero-yielding asset, the precious metal’s traditional roles as a safe haven and as a hedge against inflation were greatly undermined by the Fed’s supersized rate hikes in 2022," said Han Tan, chief market analyst at Exinity.

Top policymakers at the U.S. central bank have made clear their intentions on inflation, surprising investors who recently bet on a slower rate-hike trajectory.

"We are convinced that the outlook for U.S. monetary policy should remain in the driving seat (for gold)," Julius Baer said in its 2023 commodity outlook.

Gold prices surge as Fed signals slower rate hikes

Gold prices rose as soon as the U.S. Federal Reserve announced that it may slow the pace of interest rate hikes in the future.

Gold prices drop after 3 consecutive day hikes

After rising in 3 consecutive days, prices of gold bars branded SJC on Saturday dropped VND100,000 ($4.03) from the previous day to VND67.6 million per tael.