Gold prices increase

Gold ring price was steady at VND62.95 million per tael. A tael equals 37.5 grams or 1.2 ounces.

Globally spot gold rose 0.34% to $2,035.03 as of 4:03 p.m.

Gold prices rallied strongly through late December, but have trended lower in early January, with traders reluctant to take on new bullish positions for fears of a larger bearish reversal should deep interest rate cuts projected for 2024 fail to materialize, according to financial data platform DailyFX.

While the Federal Open Market Committee has indicated its intention to reduce interest rates later this year, it appears to be an excessive move for an economy that is not currently in a recession and is still grappling with persistent inflation. If the market began to reverse its expectations of accommodating monetary policies, it could negatively impact the price of gold.