On May 11, 2025, the domestic gold price in Vietnam remained unchanged due to the market taking a break at the end of the week. The domestic gold price stopped at 122 million VND per tael. At 4:00 AM on May 11, 2025, the price of SJC gold bars at DOJI Group was listed at 120-122 million VND per tael (buying - selling). At the same time, the price of SJC gold bars at Saigon Jewelry Company (SJC) was also listed at 120-122 million VND per tael. At Mi Hong Jewelry Company, the gold price was listed at 120.5-122 million VND per tael. The SJC gold price at Bao Tin Minh Chau Company was listed at 120-122 million VND per tael. The SJC gold price at Phu Quy was traded at 119-122 million VND per tael. The gold price of PNJ in areas such as Ho Chi Minh City, Hanoi, Da Nang, and the Mekong Delta was listed at 114-116.6 million VND per tael. The price of 9999 gold jewelry at SJC was listed at 114.5-116.4 million VND per tael. The price of 9999 Hung Thinh Vuong round gold rings at DOJI was listed at 114.5-117.0 million VND per tael. The gold ring price at Bao Tin Minh Chau was listed at 117.0-120.0 million VND per tael.
At 4:00 AM on May 11, 2025 (Vietnam time), the world gold price according to Kitco was at 3,328.94 USD per ounce. Converted at the free market USD exchange rate (26,140 VND/USD), the world gold price is approximately 105.32 million VND per tael (excluding taxes and fees). Compared to the domestic SJC gold bar price on May 11, 2025 (120.0-122.0 million VND per tael), the SJC gold price is currently about 16.67 million VND higher than the international gold price.
On Friday, May 9, 2025, the world gold price increased by more than 1%, reaching 3,340.29 USD per ounce. This increase was attributed to a slight decline in the US dollar, making gold cheaper for those using other currencies. This created a significant allure for gold in the international market. An important factor affecting the world gold price on May 10, 2025, was President Trump's statements regarding trade policy. Trump suggested that an 80% tax on Chinese goods was appropriate, as the US and China prepared for an important meeting over the weekend. The trade tensions between the two largest economies in the world created instability, prompting many to seek gold as a safe haven.
When the market is anxious about trade wars, gold prices typically rise, as it is seen as a reliable store of value. Additionally, geopolitical instability in South Asia also contributed to the rising gold prices. In the past week, India and Pakistan have repeatedly accused each other of military strikes involving drones and artillery. This is the most serious conflict between the two countries in nearly three decades. Such geopolitical events often lead investors to seek gold to protect their assets.
However, some experts believe that gold prices may not continue to soar. An analyst from High Ridge Futures suggested that in the coming months, gold prices could enter a phase of adjustment or slight decline after a period of rapid increase. This could happen if trade negotiations between the US and China yield positive results, reducing uncertainty. Nevertheless, gold remains the top choice for those looking to safeguard their assets against economic and political risks.
From another perspective, Trump's trade policies could drive up commodity prices, impacting the living standards of American citizens. A Federal Reserve official noted that these policies could lead to increased inflation, a slowing economy, and potential job losses in the near future. These factors indirectly affect the world gold price on May 10, 2025, as gold is often purchased more during periods of economic instability.
On the physical market, the demand for gold in major countries like India and China varies. In India, the high domestic gold prices have led to reduced purchases, while in China, the demand for gold surged following the holiday period. These developments indicate that gold's appeal remains strong, although responses vary by region.
With the world gold price on May 11, 2025, Vietnamese investors need to closely monitor international news to make informed buying and selling decisions. Russia's significant increase in defense spending to 13,500 trillion rubles in 2025, alongside declining oil and gas revenues and a projected budget deficit, could pressure the Russian economy. Such factors typically lead investors to seek safe assets like gold to preserve value, thus pushing gold prices higher.
High inflation rates (9.1%) coupled with the Central Bank of Russia raising interest rates to 19%, with potential increases to 20% in the near future, indicate that the Russian economy is under significant pressure. High inflation often diminishes currency value, prompting increased investment in gold as a hedge against inflation.
Russia's heightened defense spending and ongoing international sanctions could escalate geopolitical tensions. History shows that in times of political tension and escalating conflict, gold prices tend to rise due to safe-haven demand from investors. Although the International Monetary Fund (IMF) forecasts a 3.2% growth for the Russian economy, this growth rate remains lower than that of other major economies.
Moreover, if central banks worldwide, including the Federal Reserve and the European Central Bank, continue to maintain tight monetary policies, gold prices could be affected by higher opportunity costs associated with holding gold. In the short term, gold prices may rise due to uncertainties stemming from the Russian economy and geopolitical tensions. In the medium to long term, gold prices will depend on the extent of inflation control, global monetary policy, and the stability of the oil market.
If instability continues, gold prices may remain high or increase further. In the current context, gold remains a favored safe asset, especially as the Russian economy and oil market face significant pressures. Investors may consider holding gold as a tool to protect assets against unpredictable fluctuations in the future.
