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The State Bank of Vietnam has just announced the results of the gold bar auction on April 23. Accordingly, only 2 members won the bid with a total volume of 34 lots (equivalent to 3,400 taels of gold) out of a total of 16,800 taels offered for sale. The highest winning price was 81.33 million VND/tael and the lowest was 81.32 million VND/tael, about 1 million VND lower than the gold price sold to the market this morning.
According to the previous announcement, the total volume of gold bars planned for auction in the session on April 23 is 16,800 taels, equal to the volume offered for sale in the session on April 22 (which was canceled). This is SJC gold bar organized by SBV. The above gold will be auctioned in the form of auction by lot with each lot of 100 taels of gold.
The minimum bid volume that a member is allowed to bid is 14 lots (equivalent to 1,400 taels) and a maximum of 20 lots (equivalent to 2,000 taels).
The reference price given by the SBV to calculate the deposit is 80.7 million VND/tael, down 1.1 million VND compared to the level of 81.8 million VND/tael given for the session on April 22.
Previously, due to the lack of sufficient number of members registering to bid and transferring the deposit as prescribed, the SBV canceled the auction session of 16,800 taels of gold bars scheduled to be held on the morning of April 22.
The auction of SJC gold bars has been resumed in the context of domestic gold prices continuously increasing in recent months, creating a high gap between domestic gold prices and world gold prices.
The SBV’s intervention is expected to help increase the supply of gold in the market and cool down gold prices in the coming time. This is also the first time the SBV has organized an auction of gold bars again after 11 years.
Previously, from March 28, 2013 to December 31, 2013, the State Bank conducted 76 auction sessions, offering a total of 1,932,000 taels of gold to the market and successfully selling 1,819,000 taels, equivalent to 69.9 tons of gold. Thereof, 30 tons were purchased by commercial banks to close the gold status, and nearly 40 tons were sold to the market.
Compared to the previous period, gold bar trading has now narrowed and is only traded at some large enterprises. According to the State Bank, there are currently 26 units including commercial banks and gold trading enterprises establishing gold bar trading relationships with this agency. Thereof, up to now, about 15 units are eligible to participate in the auction.
