The gap between domestic gold prices and converted world gold prices is shrinking quite rapidly after just a few recent trading sessions. If on March 25, the gap between the two markets was still maintained in the area of more than 29 to over 31 million VND/tael, then by the morning of April 2, this gap had decreased significantly.
On March 25, the domestic gold market maintained a level far higher than the converted world gold price. At 4:55 PM, the world gold price was at 4,541.8 USD/ounce. Converted according to the USD selling exchange rate of Vietcombank on the same day is 26,364 VND/USD, the world gold price is equivalent to about 144.4 million VND/tael.
Compared to this price level, domestic gold is much higher. At Bao Tin Minh Chau, SJC gold bars are listed at 172 - 175 million VND/tael, meaning the selling price is about 30.6 million VND/tael higher than the world price. Gold rings are listed by businesses at 172.5 - 175.5 million VND/tael, respectively higher by about 31.1 million VND/tael.
At DOJI, SJC gold bars are traded at 170.5 - 173.5 million VND/tael. According to the selling price, this level is about 29.1 million VND/tael higher than the converted world gold price. The price of gold rings at DOJI is also at 170.5 - 173.5 million VND/tael, which is about 29.1 million VND/tael higher. Phu Quy also listed SJC gold bars and gold rings in the range of 170.5 - 173.5 million VND/tael, equivalent to about 29.1 million VND/tael higher than the world price.
Thus, at the time of March 25, the difference between domestic and world gold converted ranged from about 29.1 - 31.1 million VND/tael.
However, recent sessions show that the diễn biến has changed clearly. Closing the session on April 1st, world gold prices increased by 186.7 USD/ounce. If converted according to Vietcombank's USD selling exchange rate on April 1st, this increase is equivalent to about 5.9 million VND/tael. Meanwhile, domestic gold prices only increased by about 2 million VND/tael.
This means that the gap between domestic and world gold has been narrowed by about 3.9 million VND/tael after the session 1. 4.
By the morning of April 2, the shrinking trend was even faster. World gold prices only decreased by 2.1 USD/ounce. If converted according to Vietcombank's USD selling exchange rate today of 26,360 VND/USD, this decrease is only equivalent to about 66.7 thousand VND/tael. Meanwhile, domestic gold adjusted very strongly, decreasing by 2.5 - 2.7 million VND/tael.
Thus, in the morning of April 2 alone, the gap between domestic and world gold continued to narrow by about 2.43 - 2.63 million VND/tael.
On March 25, domestic gold prices were about 29.1 - 31.1 million VND/tael higher than converted world gold prices. By the morning of April 2, with world gold prices at 4, 686.9 USD/ounce and Vietcombank USD selling exchange rate of 26, 360 VND/USD, converted world gold prices were equivalent to about 148.95 million VND/tael. Compared to the common selling price of 175 - 175.5 million VND/tael of SJC gold bars and gold rings at large enterprises, the difference is currently about 26.05 - 26.55 million VND/tael, significantly lower than at the end of March.
This development shows that the gap between domestic and world gold is clearly narrowing. The reason is that domestic gold prices are increasing more slowly as world prices rise, but fall much more sharply as the international market adjusts. This divergence in the speed of fluctuation has caused the gap between the two markets to narrow quickly in recent sessions.
