24K bullion and ring prices respectively surged 0.37% to VND81.25 million (US$3,290) and 0.29% to VND68 million per tael at noon on Thursday, and at that time the Saigon Jewelry Company (SJC) store on Nguyen Thi Minh Khai Street in HCMC’s District 3 was filled with customers.
Hanh of District 5 said he prefers to keep his money in gold instead of a bank account.
He usually buys bullion but decided to switch to gold rings since the government has floated the idea of abolishing SJC’s bullion monopoly.
Buying gold is his way of accumulating wealth in the long term, and so prices do not bother him, he said.
A buyer from Tra Vinh Province said she told her son to go to an SJC store to sell the 10 taels of gold bars she had been saving for years and buy gold rings.
“They have the same purity, yet gold rings are much cheaper than gold bars, and so I switched to that. For me, gold is still better than deposits for wealth preservation.”
An SJC store employee said there has been a rush to buy rings in the past few days, and the store is running out of stock.
“This has never happened before.”
Other jewelry brands like DOJI and PNJ do not usually keep large stocks of 24K gold rings, and so they quickly ran out as demand soared.
On Thursday morning a PNJ store in District 5 only had 10 two-tael gold rings left and a customer came in and bought all of them, an employee recounted.
“The entire [PNJ] chain is low on supply and it is unclear when stocks will be replenished. So we currently prioritize selling to buyers who place orders in advance.”
A DOJI store in the same district received 200 taels of gold rings in the morning and sold the entire lot by afternoon, with one customer buying 135 taels.
Traditionally 24K gold rings are bought as gifts despite the fact they have the same purity as bars.
They have become popular ever since Prime Minister Pham Minh Chinh announced recently plans to narrow the gap between Vietnamese and international bullion gold prices.
As of Friday morning, SJC 24K gold ring prices has increased to VND68.3 million per tael, while bullion slid to VND81.5 million.
The price of 24-carat gold appreciated Rs 10 in early trade on Friday, with ten grams of the precious metal trading at Rs 65,570, according to the GoodReturns website. The price of silver also climbed up by Rs 100, with one kilogram of the precious metal selling at Rs 75,100.
The price of 22-carat gold also jumped Rs 10 with the yellow metal selling at Rs 60,110.
The price of ten grams of 24-carat gold in Mumbai is in line with prices in Kolkata and Hyderabad, at Rs 65,570.
In Delhi, Bengaluru, and Chennai, the price of ten grams of 24-carat gold stood at Rs 65,720, Rs 65,570, and Rs 66,450, respectively.
In Mumbai, the price of ten grams of 22-carat gold is at par with that in Kolkata and Hyderabad, at Rs 60,110.
In Delhi, Bengaluru, and Chennai, ten grams of 22-carat gold are selling at Rs 60,260, Rs 60,110, and Rs 60,910, respectively.
The price of silver in Delhi, Mumbai, and Kolkata are the same at Rs 75,100 per kilogram.
US gold prices on Friday were on track for their biggest weekly jump in five months, hovering near a record peak, as Federal Reserve Chair Jerome Powell’s comments reinforced investor hopes for a first US rate cut in June.
Spot gold was steady at $2,159.49 per ounce, as of 0120 GMT, hovering around a record peak of $2,164.09 hit in the previous session.
Powell said the US central bank was “not far” from gaining the confidence it needs in falling inflation to begin cutting interest rates, which are likely to happen in the coming months.
Spot platinum fell 0.2 per cent to $917.25 per ounce, palladium rose 0.4 per cent to $1,037.82 and silver climbed 0.1 per cent to $24.34. All three metals were poised for a weekly gain.
Gold prices continue to advance trading to a new record close today with one notable exception: gains over the last two days have been primarily driven by dollar weakness rather than buying.
Today Chairman Powell concluded his two-day semiannual testimony to both the House (yesterday) and the Senate. Although the chairman continued to keep the timing of the first rate cut close to his chest, he offered subtle references to the Senate today alluding to the fact that, “I think were in the right place” about the timing of the first rate cut as the Fed readies itself to pivot its monetary policy from restrictive to accommodative. This will be accomplished by the Fed cutting its benchmark interest rate for the first time since raising them starting back in March 2022.
The Chairman said that inflation is “not far” from where it needs to be for the central bank to initiate its first rate cut. Which is more information than he offered in his testimony yesterday to the House Financial Services Committee. In his remarks today to the Senate Banking Committee, Powell subtly suggested that interest rate cuts may not be too far off if inflation signals cooperate.
When asked to respond to rate cuts and inflation, his answer to the Senate was, “We’re waiting to become more confident that inflation is moving sustainably at 2%. When we do get that confidence, and we’re not far from it, it’ll be appropriate to begin to dial back the level of restriction,”
The key takeaway from Powell’s testimony today was that the leader of the central bank still did not provide any precise timetable as to when the Fed believes they will pivot and initiate their first rate cut. The only veiled reference to the timing of the first rate cut today came in a statement, in which he said that interest rate easing could be coming soon.
Gold has now risen for the seventh consecutive day marked by higher highs, higher lows, and higher closes, with one notable exception over the last two trading days. During the first five trading days of this rally gains in gold were primarily driven by market participants with neither dollar strength nor weakness having a notable influence on the net change in gold. However, over the last two days, the rise in gold prices has been primarily driven by dollar weakness.
Yesterday dollar weakness accounted for a little less than half of the net gain, and today dollar weakness accounted for all of gold’s gains.
As of 5:00 PM ET, the dollar is in its second day of strong declines. Today the dollar is down 0.53% taking the index to 102.77. When compared to gains in gold futures which gained 0.5% it is easy to derive the fact that today’s gains were 100% the net result of dollar weakness because the dollar declined slightly more than gold gained.
Currently, the most active April contract of gold futures is fixed at $2167.40 up $10.70 (+0.50%). While gold continues to drive to new record pricing, the most notable aspect of gains over the last two days is that gold’s gains over the last two days are based on dollar weakness rather than speculative buying. This is a notable change from what occurred during the first five days of gold’s current price advance.
For those who wish to learn more about our service, please go to the links below:
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Back in Aotearoa following farewell shows last year, Tess Liautaud today shares new alt-country twanger ‘Gold Digger‘ along with the announcement of a full-scale single release tour. Her new song is a dazedly overdriven gat-filled tune with a humorous but cautionary narrative, filmed by Jessie Shanks (The Eastern) and Gina Johns. The accompanying video depicts the Franco-American songwriter swaggering into a bar and kicking up the hay with her attitude at the Arthur’s Pass and the Otira Stagecoach Hotel — featuring trusty regular stage partner Adam Hattaway. Liautaud wrote ‘Gold Digger’ while in Otago, imagining a tune in the lighthearted but open style of the late US artist John Prine. She will be embarking on a twelve-date tour with bandin celebration of her fresh track from May, probably sinking holes with her band at the pool table at the wild mix of bars across our motu. This Sunday, however, Liautaud will treat those in the loop to a private location show with full band, kai and inu. Order up…
Tess Liautaud – Gold Digger Tour
Thursday 2nd May – Common Ground, Featherston Friday 3rd May – Rogue & Vagabond, Wellington Saturday 4th May – Wine Cellar, Auckland* Wednesday 15th May – Blue Door, Arrowtown Thursday 16th May – Rhyme & Reason, Wanaka* Friday 17th May – Peace Memorial Hall, Ophir* Saturday 18th May – Grainstore Gallery, Oamaru* Sunday 19th May – Dunedin Folk Club, Dunedin Friday 24th May – Pigeon Bay Social Club, Pigeon Bay* Saturday 25th May – Lyttelton / Wunderbar* Friday 31st May- The Playhouse, Mapua* Saturday 1st June – Mussel Inn, Onekaka
Hyderabad: Out-dazzling itself with every passing day, gold scored a hat-trick of sorts on Thursday. The yellow metal’s price in the international market vaulted to yet another record high for the third straight day at $2,165-per-ounce, propelled mainly by US Federal Reserve chair Jeremy Powell’s dovish stance on interest rates. Historically, interest rates in the US and gold prices have had an inverse relationship.Following global cues, gold prices in the domestic market also surged to a new life-high level at Rs 65,587 per 10gm for 24K (995 purity for April contract) on MCX during the day.In the local market for physical gold bars, the price of the precious metal jumped by around Rs 500 and was quoting at around Rs 65,650 (pre-tax) and Rs 67,270 (including GST). In Delhi’s market, it was quoted marginally lower.“Gold continued its upward march after US Fed chief Jerome Powell reiterated that the US central bank will most likely lower interest rates later this year. Weak US economic data and banking jitters all together pushed the US dollar and bond yields to a multi-week low, helping gold prices rally more than 3% so far this week,” said Saumil Gandhi, senior analyst-commodities, HDFC Securities.The northward march for the yellow metal is not expected to halt soon, feels Gandhi. He said that from a technical standpoint, the bullish trend is likely to continue as gold prices broke the previous resistance and are now in new territory. “Comex gold now has immediate resistance at $2,180/$2,200 level and support at $2,119/$2,094 level,” he said.
We also published the following articles recently
Gold price today: Gold rate hits new high; March gains surpass Rs 2,700; what you should know
Gold prices on MCX reached a new peak of Rs 65,298 per 10 grams due to expectations of a US Federal Reserve interest rate cut. Silver futures increased. Dollar index weakened. Gold futures on Comex remained steady. The recent surge in gold prices is driven by weak US economic data, banking concerns, and geopolitical tensions.
Gold jumps Rs 500 to scale record high of Rs 65,650 per 10 grams
Gold prices in Delhi reached a lifetime high of Rs 65,650 per 10 grams, influenced by international markets. Silver prices also rose. The Federal Reserve Chair, Jerome Powell, reiterated potential rate cuts by the US central bank. Analysts predict that gold prices will be influenced by upcoming US CPI data and non-farm payroll and unemployment data.
US stocks rise on rate hopes as gold hits record high
US and European stock markets rose on rate cut expectations. Gold reached record heights. Bitcoin eased. World oil prices gained on strong US energy demand. Tight supplies, risk appetite, and tangible evidence influenced market participants and equity markets.
Mining and industrials gains pushed Canada’s main stock index higher on Thursday though the telecom sector was the only drag on the TSX. Traders assessed another day of Federal Reserve Chairman Jerome Powell’s congressional testimony and U.S. economic data. Spot gold hit a new all-time high during trading.
Sponsored by
U.S. stocks scored another win across the board as major averages posted their second winning session in three days after Wall Street’s worst day in three weeks earlier this week.
The Canadian dollar traded for 74.27 cents compared with 73.96 cents U.S. on Wednesday.
U.S. crude futures traded $0.24 lower at $78.89 a barrel, and the Brent contract lost $0.17 to $82.79 a barrel.
The price of gold was up US$11.68 to US$2,159.40.
In world markets, the Nikkei was down 492.07 points to 39,598.71, the Hang Seng was down 208.31 points to 16,229.78, the FTSE was up 14.69 points to 7,694.00, and the DAX was up 126.14 points to 17,842.85.
The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.
To gain an edge, this is what you need to know today.
Benzinga
The Message For Prudent Investors
Please click here for an enlarged version of the chart of SPDR Gold TrustGLD.
Note the following:
The chart shows that gold has broken out to an all time high.
The chart shows higher volume. This indicates conviction in the breakout.
RSI shown on the chart is at an all time high. This indicates there is high momentum behind the breakout. Breakouts that happen with RSI at all time high tend to lead to big moves in the longer term. However, when RSI is this overbought, it often leads to a short term pullback.
In The Arora Report analysis, there is an important message here for prudent investors:
Stock market sees clear skies as far as the eye can see.
Bitcoin is near all time high indicating that the speculative juices are running at all time high.
NVIDIA Corp NVDA is at an all time high and goes up every day indicating that many investors believe artificial intelligence is going to trump everything else.
YOLO (you only live once) is taking over in penny stocks, junk stocks, highly speculative tech stocks, as well as highly speculative biotech stocks indicating the breath of extremely positive sentiment.
Gold is bought when investors want to hedge their portfolios, when investors see trouble ahead, and when investors want to be defensive.
Who is buying gold at a time when the sentiment is at extreme high? The answer is prudent investors who have studied the history of the markets and know that when sentiment gets this high, it is time to buy protection.
Historically when sentiment gets this high, something comes out of the blue that nobody has foreseen to drive the stock market lower.
Initial jobless claims came at 217K vs 217K consensus. This indicates that the jobs picture is very strong, especially at the low end. Jobs picture is weak in IT and is likely to get weaker in areas that are being impacted by AI.
Unit Labor Costs – Rev. came at 0.4% vs 0.6% consensus. This indicates that costs are not rising as fast in manufacturing.
Productivity – Rev. came at 3.2% vs 3.1% consensus. Higher productivity drives the stock market higher.
Powell will be repeating his testimony in front of the Congress. Expect momo gurus to twist his testimony to run the stock market higher.
Jobs Report, mother of all reports, will be released at 8:30am ET tomorrow. As is their pattern, momo crowd is buying ahead of the Jobs Report on hopium.
As an actionable item, the sum total of the foregoing is in the protection band, which strikes the optimum balance between various crosscurrents. Please scroll down to see the protection band.
Europe
European Central Bank (ECB) left interest rates unchanged as expected.
Japan
Speculation is building that Japan will raise interest rates in March. If this occurs, this will be the first interest rate hike since 2007.
As we have written before in detail, Bank of Japan (BOJ) policies will have a major impact on the stock market in the US.
As full disclosure, two Japan related ETFs are in ZYX Allocation Core Model Portfolio.
Magnificent Seven Money Flows
In the early trade, money flows are positive in Apple IncAAPL, Amazon.com, Inc.AMZN, Alphabet Inc Class CGOOG, Meta Platforms Inc META, Microsoft Corp MSFT and NVDA.
In the early trade, money flows are negative in Tesla Inc TSLA.
In the early trade, money flows are positive in SPDR S&P 500 ETF Trust SPY and Invesco QQQ Trust Series 1QQQ.
Momo Crowd And Smart Money In Stocks
The momo crowd is buying in the early trade. Smart money is inactive in the early trade.
Gold
The momo crowd is buying in the early trade. Smart money is inactive in the early trade.
For longer-term, please see gold and silver ratings.
The most popular ETF for gold is GLD. The most popular ETF for silver is iShares Silver Trust SLV.
Oil
The momo crowd is buying oil in the early trade. Smart money is inactive in the early trade.
For longer-term, please see oil ratings.
The most popular ETF for oil is United States Oil ETFUSO.
Bitcoin
Bitcoin is range bound. Bitcoin whales are pushing the narrative of bitcoin going to $80K over the weekend. Bitcoin is trading at $67,027 as of this writing.
Protection Band And What To Do Now
It is important for investors to look ahead and not in the rearview mirror.
Consider continuing to hold good, very long term, existing positions. Based on individual risk preference, consider a protection band consisting of cash or Treasury bills or short-term tactical trades as well as short to medium term hedges and short term hedges. This is a good way to protect yourself and participate in the upside at the same time.
You can determine your protection bands by adding cash to hedges. The high band of the protection is appropriate for those who are older or conservative. The low band of the protection is appropriate for those who are younger or aggressive. If you do not hedge, the total cash level should be more than stated above but significantly less than cash plus hedges.
It is worth reminding that you cannot take advantage of new upcoming opportunities if you are not holding enough cash. When adjusting hedge levels, consider adjusting partial stop quantities for stock positions (non ETF); consider using wider stops on remaining quantities and also allowing more room for high beta stocks. High beta stocks are the ones that move more than the market.
Traditional 60/40 Portfolio
Probability based risk reward adjusted for inflation does not favor long duration strategic bond allocation at this time.
Those who want to stick to traditional 60% allocation to stocks and 40% to bonds may consider focusing on only high quality bonds and bonds of seven year duration or less. Those willing to bring sophistication to their investing may consider using bond ETFs as tactical positions and not strategic positions at this time.
The Arora Report is known for its accurate calls. The Arora Report correctly called the big artificial intelligence rally before anyone else, the new bull market of 2023, the bear market of 2022, new stock market highs right after the virus low in 2020, the virus drop in 2020, the DJIA rally to 30,000 when it was trading at 16,000, the start of a mega bull market in 2009, and the financial crash of 2008. Please click here to sign up for a free forever Generate Wealth Newsletter.
This article is from an unpaid external contributor. It does not represent Benzinga’s reporting and has not been edited for content or accuracy.
Meanwhile, gold climbed 0.3% to set a new high of $2,161.48 an ounce.
The precious metal tends to struggle when interest rates are likely to fall but may have drawn in buyers looking for safe havens due to ongoing tensions in Ukraine and the Middle East.
Yes, gold price confirmed its breakout – in daily closing price terms. Yes, it is important.
At the moment of writing these words, gold price is trading at about $2,161 – it’s new all-time highs in nominal terms, which is slightly higher than the late-2023 high. Gold price is trying to stay above this level, and while it’s been successful so far, the extremely overbought RSI suggests that it won’t stay as high for long.
And yet…
Gold is already after a confirmed breakout to new highs. Yesterday was the fourth consecutive daily close above the late-2023 highs (I marked the early-December one, but it was also the case with the late-December one).
A confirmed breakout opens the door to higher prices, and since it was a breakout to new all-time highs, gold could move much higher in the medium term.
We see the same thing in the GLD ETF and while focusing on the 2022 top.
Generally, three daily closes are needed to confirm a breakout and we saw more than that. The breakout was confirmed, and the implications are bullish.
Those are the facts.
But those are not the only facts that are present right now.
It’s also true that gold price is extremely overbought – the RSI based on the GLD ETF is almost as overbought as it was at the 2022 top. After that high, gold price declined for hundreds of dollars.
It’s also true that mining stocks are underperforming gold and the rally that we saw in gold was not even similarly big in case of silver. Nothing special happened in platinum nor palladium. So, we don’t have the bullish confirmations here.
Please just look at the long-term HUI Index chart below and see the recent rally’s size.
Barely noticeable, right? Gold – the metal those mining companies produce and sell just moved to new all-time highs. Why are the miners’ prices not soaring?
Why is this rally pretty much invisible from the long-term point of view, and why are gold stocks so low compared to their own all-time (2011) high? Those are extremely bearish signs for the precious metals market.
We have the USD Index that’s likely to move higher in the medium term, and we have stock market that is extremely overbought, and we all remember what happened to the prices of gold, silver, and mining stocks when stocks plunged in 2020 or 2008.
The USDX is close to its recent intraday lows as well as its 50-day moving average. It’s also close to the levels that stopped its decline during the August 2023 correction. It seems that it can turn up any day or hour now.
Stocks moved below their late-Feb high recently and while they are trying to get back above it, the fact that they finally did move below the said high already makes the current situation different.
Was that the final top for stocks? If so, it could have been the case that gold (and bitcoin, which soared recently as well) we pushed higher on the wave of the overall dovish and bullish sentiment.
And as stocks move lower, gold might plunge as well.
All right, so what is gold likely to do now?
It’s extremely overbought, so it’s likely to decline – regardless of the breakout and the fact that the medium-term outlook for gold might have just changed to bullish.
Why? Because even if it is the case that gold is going to soar substantially in the following months – despite everything happening on other markets – it’s still likely to correct to the previous highs and verify them as support. Even in the bullish scenario.
And then the real test will take place. Will gold really be able to hold above the previous highs in terms of the closing prices?
If it does, it might be off to new highs shortly thereafter. If it doesn’t, it’s a long way down from there.
The above creates not one, but two major trading opportunities (one clear, and one will depend on the result of gold’s verification), and I’m discussing them both in today’s Gold Trading Alert. I’m also explaining the possibility of seeing a big disconnect within the precious metals sector. Times are changing, and you’ll likely thank yourself for being prepared for those changes. I encourage you to join my subscribers and get more details today, especially that for new subscribers, the first week is free.
Thank you.
Przemyslaw K. Radomski, CFA Founder, Editor-in-chief
In global markets, gold is on the rise fueled by predictions
that the U.S. Federal Reserve (FED) will lower interest rates this
year, Azernews reports.
The sharp increase in the price of gold persists, reaching a new
record today.
In the past six sessions, bullion has gained approximately 7%,
with the price of one ounce of gold reaching $2167 today. Over the
past year, gold has appreciated by more than 18%.
Federal Reserve Chair Jerome Powell stated on Wednesday that it
would be appropriate to begin reducing interest rates. Citigroup
has raised its gold price forecast for the next three months to
$2200 per ounce and increased its forecast for the next 6-12 months
to $2300.
Lower interest rates enhance the attractiveness of gold.
Typically, when the FED reduces interest rates, the U.S. Dollar
depreciates. It is expected that central banks will continue their
gold purchases amid geopolitical uncertainties. The slowdown of the
Chinese economy is also anticipated to impact global economic
growth. Therefore, in an uncertain financial environment, gold
remains a secure investment for banks and investors. These factors
contribute to the ongoing appreciation of gold.
