Domestic Gold Holds at Record High as Global Investors Bet on Fed Easing Policy

Vietnam’s gold prices remained steady at VND 152 million per tael on November 12, while global gold climbed to a three-week high amid growing expectations that the Federal Reserve could cut interest rates next month.

Domestic Gold Prices Steady at VND 152 Million per Tael

Vietnam’s bullion market remained stable on Tuesday morning as global prices strengthened overnight.
As of 9 a.m., Saigon Jewelry Company (SJC) and DOJI Group both listed gold bars at VND 150 million (buying) and VND 152 million (selling) per tael, unchanged from the previous session.
This marks the highest domestic level since early November, reflecting alignment with the global uptrend.

Amid uncertainty in global markets and cautious monetary outlooks, gold continues to serve as a preferred safe-haven asset for Vietnamese investors.
The steady price also suggests strong holding sentiment among retail buyers and traditional gold hoarders, particularly as the year-end approaches.

Gold Rings Remain Stable with Wide Buy-Sell Spread

Beyond bullion bars, gold rings also traded flat on November 12.
At SJC, ring prices were quoted at VND 147.3 – 149.9 million per tael (buy–sell), while DOJI maintained quotes at VND 148.5 – 151.5 million per tael.
This left the buy–sell spread hovering between VND 2.5 and 3 million, indicating a cautious stance from jewelers against short-term volatility.

Analysts note that ring prices generally move slower than bullion due to seasonal demand factors, particularly wedding season and year-end gifting, both of which are expected to keep domestic prices elevated in the near term.

Global Gold Hits Three-Week High amid Fed Policy Hopes

On the international market, spot gold rose 0.3% to USD 4,126.77 per ounce during the November 11 session, after touching its highest level since October 23.
Meanwhile, December futures eased 0.1% to USD 4,116.30 per ounce by the close.

Global investors continued to bet that the Federal Reserve could pivot toward monetary easing as the U.S. economy shows signs of cooling.
Optimism also grew after reports that the U.S. government may soon reopen following a 41-day shutdown, paving the way for delayed economic data releases that could guide the Fed’s next move.

According to a Bloomberg Intelligence strategist, “If upcoming inflation data confirm continued moderation, a December rate cut by the Fed remains firmly on the table.”
This prospect makes non-yielding assets like gold more attractive compared to bonds and equities.

Broader Global Factors Support Gold’s Uptrend

Beyond rate-cut speculation, global gold prices are also benefiting from ongoing geopolitical and trade tensions.
Concerns surrounding U.S.–China trade frictions and conflicts in the Middle East continue to drive flows into safe-haven assets.
At the same time, a weaker U.S. dollar in recent sessions has further supported gold by reducing the holding cost for non-U.S. investors.

Additional tailwinds came from renewed inflows into global gold-backed ETFs.
According to Refinitiv data, total holdings by major gold funds rose 0.4% in early November after several months of outflows, signaling a gradual recovery in long-term investor confidence.

Domestic–Global Price Gap Remains Wide

Despite the global price hovering around USD 4,126 per ounce — equivalent to roughly VND 122 million per tael before taxes and fees — domestic bullion remains about VND 30 million higher.
This persistent gap highlights supply-demand imbalances and limited arbitrage channels within Vietnam’s gold market.

Experts believe domestic prices are unlikely to decline sharply in the short term due to limited supply and speculative demand.
However, if global prices stabilize and U.S. monetary policy becomes clearer, the spread between local and international markets could gradually narrow.

Outlook: Gold Remains a Safe-Haven Choice

With global inflation still above target, interest rates near their peak, and geopolitical uncertainties lingering, gold remains a key store of value for both institutional and retail investors.
Analysts forecast international prices to consolidate between USD 4,100 and 4,150 per ounce in the near term, potentially breaking higher if the Fed signals a rate cut at its year-end meeting.

For Vietnamese investors, physical gold holdings continue to serve as a defensive asset, though experts caution about wide bid–ask spreads and limited market liquidity, as domestic trading remains partially disconnected from global benchmarks.

FAQs

1. Why are Vietnam’s gold prices still high while global prices are stable?
→ Domestic bullion supply remains tight, and strong holding demand keeps local prices well above international levels.

2. Could the Federal Reserve cut rates next month?
→ Many analysts see a realistic chance of a December rate cut if inflation continues to ease and economic growth slows further.

3. Will gold surpass USD 4,200 per ounce soon?
→ It’s possible if the U.S. dollar weakens further and geopolitical tensions intensify, spurring additional safe-haven demand.

4. Is now a good time to buy gold?
→ Investors should be cautious. The domestic premium is still high, so long-term holding may be safer than short-term trading.