Gold prices dip as global rates drop

Saigon Jewelry Company gold bar price dropped by 0.82% to VND121 million (US$4,658.6) per tael.

Gold ring price went down 0.85% to VND116 million per tael. A tael equals 37.5 grams or 1.2 ounces.

Vietnam's gold prices are currently VND18 million per tael higher than global rates.

Globally, gold slipped on Monday as optimistic signals from U.S.-China trade talks alleviated market fears, leading investors to shift from safe-haven assets towards riskier investments, Reuters reported.

Spot gold fell 1.4% to $3,277.68 an ounce. U.S. gold futures lost 1.9% to $3,281.40.

The U.S. and China ended high-stakes trade talks on a positive note on Sunday, with U.S. officials touting a "deal" to reduce the U.S. trade deficit, while Chinese officials said they had reached "important consensus."

"The dollar index has advanced as the Trump administration touted progress in trade negotiations, with China following negotiations over the weekend in Switzerland which weighed on gold prices," said Jigar Trivedi, senior commodity analyst at Reliance Securities.

"In the near term, gold possibly continue to decline as the dollar could appreciate and amid reducing geopolitical risk the haven demand too may drop hence, the yellow metal may decline to $3,200/oz in the near term," Trivedi added.

Gold, traditionally seen as a hedge against economic and political uncertainties, thrives in a low-interest rate environment.