Gold prices drop

Saigon Jewelry Company gold bar price fell 1.03% to VND183.1 million (US$6,965.01) per tael. Other sellers also lowered their rates.

Local bullion prices are currently over VND21 million per tael higher than global rates.

Gold ring price declined by the same rate to VND182.8 million per tael. A tael equals 37.5 grams or 1.2 ounces.

Globally, gold fell about 2% on Monday, as ‌a stronger U.S. dollar weighed on the greenback-priced bullion, while higher energy costs fueled inflation concerns and further dimmed the prospects for near‑term reductions in interest rates, Reuters reported.

Spot gold was down 1.7% at $5,082.51 per ounce. U.S. gold futures for April delivery were down 1.4% at $5,099.40.

The dollar rose to a more-than-three-month high, making bullion more expensive for holders ⁠of other currencies.

"Gold is on the back foot today despite the market tumult, with triple-digit oil prices boosting the dollar on inflation fears and scaled back rate-cutting expectations," said Tim Waterer, KCM Trade chief market analyst.

"Much of gold's price rise over the ‌last ⁠12 months was predicated on a dovish outlook for U.S. interest rates, but given the inflation risk presented by $100 per barrel oil, rate cuts are no longer a given and gold has repriced accordingly."

Bullion tends to thrive in ⁠a low-interest-rate environment as it is a non-yielding asset.