Domestic gold prices anchor in high areas
After a week of strong increase in the international market, domestic gold prices continued to maintain in the high zone.
A survey on the morning of August 9, SJC gold bars were listed by businesses around the threshold of 141-144 million VND/tael (buying - selling). Gold ring prices also increased, fluctuating around 140.5-145.2 million VND/tael (buying - selling) depending on the brand.
Meanwhile, world gold prices closed the trading week around 4,336 USD/ounce, recording the strongest week of increase since the beginning of the year after the US jobs report was much lower than expected, causing the market to reduce expectations that the US Federal Reserve (Fed) will continue to raise interest rates in the short term.
This development helps market sentiment improve significantly after many months of gold price adjustment.
Factors investors need to monitor
According to UBS analysts, the medium and long-term outlook for gold is still supported by three main factors including the possibility of real interest rates falling in the near future, the need to diversify assets away from the USD and the trend of central banks continuing to increase gold holdings.
In the basic scenario, UBS believes that gold prices could reach around 5,000 USD/ounce in the first half of 2027.
However, this organization also noted that the short-term outlook for gold may still fluctuate strongly if the US economy recovers better than expected, inflation remains high or the Fed continues to send tough signals on monetary policy.
This is also the reason why many financial institutions recommend that investors closely monitor the developments of US economic data in the coming time instead of just looking at gold price fluctuations in each session.
Cash flow is still a factor to observe
Another notable point is that the latest report from the World Gold Council (WGC) shows that global gold ETFs have returned to net buying in July after two consecutive months of capital withdrawal.
According to the WGC, cash flow returned mainly from Europe and Asia, reflecting the need to seek defensive assets in the context of uncertain global economic prospects.
However, the WGC also noted that the developments of investment capital flows, monetary policy and gold purchase activities of central banks will continue to be decisive factors in the market trend in the last months of the year.
In that context, analysts believe that investors should not only look at strong gains to make decisions, but need to simultaneously monitor Fed interest rate movements, the strength of the USD, ETF capital flows and gold buying activities of central banks.
Domestically, gold prices have just experienced a week of strong fluctuations, but the increase in the market does not mean that all buyers have the same results. Buyers at different times, choosing gold bars or gold rings, even buying from different brands can bear different buying - selling differences and profitability.
Instead of just looking at the question of whether gold prices will continue to rise or not, it is more important to determine the target of holding, the expected time of holding gold and the ability to withstand fluctuations of oneself. A gold buyer for long-term accumulation will have a different view than someone who expects to make a profit in a few weeks or months.
