The price of gold in Vietnam kept dropping on Saturday morning following multiple record highs recorded earlier in the week.
The Saigon Jewelry Company's gold bar dropped by 0.31%, now priced at VND97.4 million ($3,803.95) per tael.
It has fallen by almost 3% from the VND100.4 million all-time high set on Thursday.
The price of a gold ring has decreased by 2.4% during this period to reach VND98.3 million per tael.
Worldwide, gold prices dropped by 1% on Friday because of an increased value of the U.S. dollar and investors taking profits. However, ongoing geopolitical tensions and economic uncertainties, along with expectations of a potential interest rate reduction from the U.S. Federal Reserve, helped keep gold on course for its third week of gains. Reuters reported.
The price of spot gold decreased by 1%, trading at $3,015.43 per ounce. Meanwhile, U.S. gold futures closed 0.7% lower at $3,021.40. So far this week, bullion prices have risen by approximately 1%.
Historically regarded as a secure financial refuge amid geopolitical and economic instabilities, gold usually flourishes when interest rates are low. This year, however, it has surged to unprecedented levels, hitting 16 new records and peaking at $3,057.21 per ounce on Thursday.
"The market seems to be pausing for breath. We're seeing some profit-taking at current levels along with a stronger US dollar today," noted Marex analyst Edward Meir.
Peter Grant, vice president and senior metals strategist at Zaner Metals, stated that "the continuous strong demand for safe havens persists mainly due to worries about trade issues as well as geopolitical threats."
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