Ban on trading gold through foreign accounts

Ban on trading gold through foreign accounts

QĐND – Friday, January 08, 2010, 19:0 (GMT+7)

All gold trading activities via foreign accounts had been banned with the exception of any further trades needed t pay off contracts and close the accounts, the State Bank of Vietnam announced on its website on January 7.

All foreign gold accounts must be terminated by March 30.

Last week, Prime Minister Nguyen Tan Dung ordered all gold trading floors to be banned as of March 31, 2010. The order requires that all gold trading floors and all domestic accounts for gold trading to be terminated by that date.

With the new regulations, the State Bank of Vietnam will oversee all trading of the precious metal.

Source: VNA

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PM suspends public gold trading

PM suspends public gold trading

QĐND – Monday, January 04, 2010, 21:5 (GMT+7)

All public gold trading floors will be banned effective March 31, 2010, under a recent order by Prime Minister Nguyen Tan Dung.

The order requires all gold trading floors to be shut down and all domestic investor accounts terminated by that date, after which time the State Bank of Vietnam will assume oversight of all trades in the precious metal.

The order also requires the central bank to suspend all 2006 regulations allowing gold trading via accounts abroad.

Jewellery businesses will still be allowed to sell gold jewellery, but the State Bank will draft new regulations limiting how gold can be traded in this form.

After over two years of unregulated trading in gold, the Government has decided to clamp down on what has become a chaotic market driven by speculative behaviour. Gold trading is also undercutting official efforts to regulate monetary policy and stabilise the economy.

“The shutdown is necessary, but had it come sooner in 2008, the costs could have been reduced,” said a representative of the Vietnam Association of Financial Investors (VAFI). “Many trading centres have been set up, taking a large investment of capital to build up staff and infrastructure.”

Investors would lose an investment channel, but the State would have one less factor to regulate, said Nguyen Thanh Toai, deputy director of Asia Commercial Bank, the nation’s first credit institution to establish a gold trading floor in Viet Nam.

Black-market gold trading in the past had rattled the authorities, Toai said, which is why they moved the illegal gold trading from the dark alleys into the light of lawful gold trading centres in which it could be monitored and regulated. But now, he said, they were returning it again to the darkness.

Another director of a HCM City based gold trading centre, who asked to remain anonymous, worried that investors might now illegally set up accounts abroad to trade gold online as they used to do before gold trading centres were set up in Viet Nam, causing more dollars to drain out of the domestic economy.

The State Bank of Vietnam had submitted to the Government two proposals for better managing gold trading centres, including closing them down or raising required security deposit rates to 100 per cent.

The resulting shutdown order will affect about 20 gold trading bourses.

There are centres operated by banks, requiring investors to open accounts at the bank; bourses set up by credit institutions or securities companies, requiring investors to deposit money directly with the organisation operating the bourse; and centres allowing institutions and investors to trade gold for gold abroad using US dollars.

Source: Vietnam+

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Cuong wins gold in three-string event

In the zone: Archer Nguyen Tien Cuong of Ha Noi takes aim at the National Archery Championship in Ha Noi yesterday. He brought home another gold in the men’s 70m compound (three-stringed bow). — VNA/VNS Photo Ngoc Truong

HA NOI — Nguyen Tien Cuong of Ha Noi brought home another gold in the men’s individual 70m compound (three-stringed bow) event at the National Archery Championship in Ha Noi yesterday.

Cuong’s team mates, Vu Viet Anh and Nguyen Thanh Tuan, finished second and third.

On Monday, Cuong broke his own national record in the men’s 50m compound when he scored 346 points to beat his old record, which he set at the same event last year, by three points.

On the women’s side, Hanoian archers dominated. Tran Nguyen Tieu Anh, who won two gold medals on Monday, grabbed another gold yesterday. Nguyen Thi Xuan Huong and Hoang Thi Phuong came in second and third. In the women’s 70m recurve (one-stringed bow) event, Nguyen Ngoc Thuy Vy of HCM City won gold in the 50m recurve event on Monday, took gold again yesterday. Phu Tho’s Nguyen Thi Thanh and Hanoian Duong Kim Lien took silver and bronze, respectively.

On the men’s side in the same event, Dao Trong Kien of Hai Phong won gold. Today, archers will compete in the mixed doubles in the 70m recurve and compound competition.

The championship, which attracts more than 80 archers from seven teams nationwide, is as a warm-up event for the 25th Southeast Asian Games in Laos this December. —

Source: vietnamnews.vnagency.com.vn

Ha Noi team wins four gold medals

Concentration: Hanoian Tran Nguyen Tieu Anh was one of the best athletes at the National Archery Championship, which closed in Ha Noi yesterday. Anh pocketed seven golds to help her team top the tournament. — VNS Photo Quang Thang

HA NOI — Hanoian archers won four more gold medals on the last day of competition yesterday to finish in first place in the team competition at the six-day National Archery Championship with 21 gold, 14 silver and 11 bronze medals.

They won four golds in the team events for the 70m compound (three-stringed bow) and curve (one-stringed bow) events.

Hai Phong finished second with three golds, five silvers, and three bronzes, while HCM City bounced back with a third-place finish with three golds and three bronzes.

Nguyen Duc Uynh, head of the shooting and archery section of the General Department of Sports as well as the event’s organisers, said, “The Vietnamese archers’ achievements in this event will prepare them for the third Asian Indoor Games in Viet Nam in late October and the 25th Southeast Asian Games in Laos in December.”

“This annual event saw two national individual records broken and it also set up four national records in the team events for the first time.

“Besides Hanoian veterans Tran Nguyen Tieu Anh and Nguyen Tien Cuong, who brought their team seven golds each, the event saw other young talents succeed such as Nguyen Thi Xuan Huong, Hoang Thi Phuong of Ha Noi, and Dao Trong Kien from Hai Phong,” said Uynh.

More than 80 archers from seven teams nationwide competed in the men’s and women’s individual and team events. —

Source: vietnamnews.vnagency.com.vn

Gold prices to stabilise after IMF selloff

HCM CITY — The domestic gold price is not expected to increase as it has in recent days, according to an official of the Viet Nam Gold Business and Investment Joint Stock Company (VGB).

VGB consulting director Bui Viet Cuong said in a recent interview with Viet Nam Investment Review that the gold prices in the domestic market would be around US$960 or US$1,020 an ounce in the fourth quarter.

The stability of future gold prices in the market is due to several factors.

“The International Monetary Fund (IMF) ’s recent decision to sell 403 tonnes of gold, valued at US$13 billion, to boost its lending capacity to poor countries will create an immediate impact on the domestic market, and along with it, the gold prices will decrease,” he said.

Cuong, however, said that the market’s reaction would be moderate because IMF gold would be sold directly to central banks on demand.

An inflation rate that is not expected to rise dramatically would also keep prices stable, while Asia’s demand for gold for the rest of the year would not increase because the current gold prices still stood at a high rate.

“The gold prices for the rest of the year would also rely on the recovery of the global economy, banks’ implementation of relief packages, interest-rate related policies, and the value of the greenback,” Cuong said.

Recent sharp increases in the gold price were due to many factors, including the central banks’ change of their structures of foreign currency reserves, concerns about high inflation, and the depreciation of the US dollar on the market, he added. —

Source: vietnamnews.vnagency.com.vn

Phuoc takes gold in high jump

Up and over: Thua Thien-Hue’s Tran Cong Phuoc snagged a gold medal in the men’s high jump after clearing 2.11m at the National Athletics Championship in HCM City. — VNS Photo Tien Thanh

HCM CITY — Highjumper Tran Cong Phuoc took a gold medal at the ongoing National Athletics Championship in HCM City yesterday while Southeast Asian sprint queen Nguyen Thi Huong also pocketed a gold and a national record.

An Giang’s Huong finished her 100m race in 11.43sec, 0.04sec better than the old one of her self set up for several years ago.

Meanwhile Phuoc of Thua Thien-Hue needed three attempts to clear 2.09m but cleared 2.11m in his first to bring his team first gold medal.

The 2005 SEA Games silver medallist Nguyen Thanh Phong came second with 2.09m and Dao Van Thuy took the bronze medal.

“It is still far below the SEA Games standard but I will try my best to further improve,” the 21-year-old Phuoc said.

German coach Uwe Freimuth who will train Viet Nam for the next four years came to Thong Nhat Stadium to watch the competition yesterday. He said Phuoc is a promising jumper but 2.11m is not enough to win a medal at the SEA Games.

The national record holder Nguyen Duy Bang failed to assert his superiority.

Bang, who is the SEA Games record holder with a jump of 2.25m, could not clear 2.06m.

An Giang Province won the women’s 4x200m relay in a time of 1min 39.64sec while the Military won the men’s relay in 1:26.57.

Vinh Long dominated the men’s hammer throw, sweeping all three medals. —

Source: vietnamnews.vnagency.com.vn

Calisto prepares national team to take SEA Games gold in 2010

Calisto prepares national team to take SEA Games gold in 2010

The Viet Nam U-23 team are taking part in a 10-day training course at My Dinh Stadium in preparation for the Southeast Asian (SEA) Games in Laos this December.

Coach Henrique Calisto called on the 33-member squad to focus on attacking football.

“Goals are vital. We need goals to succeed,” Calisto said.

“Every player should concentrate on trying to net the ball. If strikers are well-marked by opponents, midfielders or defenders should fire long shots into the penalty box.”

The squad will later take part in a 10-day training course in Hongta, Kunming, China, before taking part in a pre-SEA Games tournament in Laos and the VFF Cup in Viet Nam.

On Saturday, Calisto appointed midfielder Pham Thanh Luong,19, captain.

Viet Nam beat Sri Lanka at Asian Women’s Volleyball Championship

Viet Nam trounced Sri Lanka 3-0 in their group A match at the 15th Asian Senior Women’s Volleyball Championships on Monday.

Coach Thai Thanh Tung allowed many of his reserves to play in order to give them match experience. However, veterans Pham Kim Hue and Ngoc Hoa stole the show.

Earlier, Viet Nam beat Australia and Iran.

The team will today play Kazakhstan, which is expected to be a tough encounter.

The tournament has attracted 14 teams, who have been divided into four groups. The top two teams from each group will go through to the semi-finals of the biannual event.

The winner of the tournament will represent Asia at the world championships.

Ninh Binh sign Brazilian Da Silva to help shape up squad for season

The V-League’s Ninh Binh have signed a long-term contract with Brazilian Gilson Da Silva from First Division team Can Tho City.

Da Silva scored 10 goals for Can Tho in the second leg of the First Division.

Ninh Binh have promoted to the V-League after winning the First Division league title.

Pre-Asian Indoor Games to hold kick-boxing tournament

Around 100 athletes from more than 10 teams nationwide will be taking part in the pre-Asian Indoor Games kick-boxing tournament today in Quy Nhon city in the central province of Binh Dinh.

The best athletes will be selected to take part in the third AIG and the coming Southeast Asian Games in Laos this December.

Viet Nam won one gold and five bronze medals in various weight categories at the Asian Martial Arts Games last month. —

Source: vietnamnews.vnagency.com.vn

Banks raise gold rates to attract deposits

HCM CITY — Many commercial banks have raised interest rates on gold deposits as domestic prices of the metal continue to soar and depositors withdraw gold to sell.

The Sai Gon Commercial Joint Stock Bank (SCB) has hiked its deposit interest rate by 0.55 to 0.6 per cent to offer 4.55 per cent a year for terms up to 12 months and 4.6 per cent for longer terms.

The Sai Gon Thuong Tin Joint Stock Bank (Sacombank) pays 4.54 per cent a year for 36 months to depositors who deposit 300-500 taels of gold.

The SCB said it was raising rates to mobilise gold in preparation for the usual spike in demand for gold loans at the end of the year.

Nguyen Le Dieu Tho, SCB deputy general director, said mobilisation had increased sharply since deposit rates were raised. But most other banks admitted to increasing the rate because a number of depositors were withdrawing their gold to sell to take advantage of the recent price hikes.

Few gold borrowers

Truong Dinh Long, deputy general director of Orient Commercial Bank, said depositors tended to withdraw their gold when the metal’s price increased and deposit again when the price went down.

Tran Phuong Binh, general director of Dong A Bank, said customers, fearing a further rise in gold prices, preferred borrowing money to gold, even property investors who usually had a huge demand for gold.

Banks said most gold borrowers were jewellers and investors at gold trading floors.

Gold shops borrow from banks and sell the gold at high prices. They later buy gold when the prices are down to repay the banks.

Some people think there will be a race among banks to increase interest rates on gold deposits.

But analysts say this is unlikely since not all banks would dare to mobilise gold paying high interest rates, but only those with a strong background in gold trading and having sales outlets.

Besides, the current volatility in the price of the precious metal could cause risks for the banks if they do not manage it well, they point out. —

Source: vietnamnews.vnagency.com.vn

Gold reaches new high of $1,221 a tael

HA NOI — Gold price reached a record high of VND21.86 million (US$1,221) per tael (around 1.75 ounces) yesterday in the domestic market as the global gold price hit $1,000 an ounce for the first time in six months in a sign that investors remain concerned about the sustainability of global economic recovery.

Yesterday, most gold shops lifted their gold price by roughly VND60,000 ($3.35) -VND100,000 ($5.59) per tael over the Monday morning price.

Phu Quy SJC yesterday bought the precious metal at VND21.85 million ($1,221) and sold at VND21.90 million ($1,223) per tael. Meanwhile, Phu Nhuan-PNJ and Bao Tin Minh Chau listed their buying and selling prices at VND21.85 million ($1,221) and VND21.92 ($1,224) million, respectively.

Gold trading on the ACB Gold Trading Floor yesterday was also up VND100,000 ($5.59) per tael to VND21.32 million ($1,191).

Currently, the price for a tael of gold in the domestic market is roughly VND100,000 ($5.59) lower than the global price.

Yesterday most gold shops lifted the gap between the buy and sell price to range from VND70,000 ($3.9) – VND100,000 ($5.59) per tael as compared to VND50,000 ($2.8) on Monday.

A staff member at the Phu Nhuan-PNJ Company said, “The domestic gold market during the first two days of the week was hotter than the past few weeks because more people were selling.”

Phu Nhuan-PNJ said that it bought roughly 4,000 tael and sold 1,000 on Monday.

However, the staff member said, “Major investors sold with an attitude of indifference while waiting for further price hikes. Most investors expected the price to pass VND22 million ($1,229).”

In the global market, spot gold and US gold futures both rose as high as $1,000 an ounce, the strongest since February, with both simmering economic worries and longer term inflation concerns driving the gains. But both soon fell back.

Analysts warned volume was thin and that momentum could soon wane, with a tendency of big Asian consumers to sell into rising prices.

They forecast that by the end of the year the gold price would be lower, probably down to around $950 an ounce. —

Source: vietnamnews.vnagency.com.vn

Cheaper gold and oil fuel market growth

HA NOI — A lowered oil price, expanded trading band and reduced gold prices proved to be a happy series of events for the domestic stock market last week.

The VN-Index last week jumped a total of 44.66 points or 10.05 per cent to 488.94. Almost every listed shares rose sharply, especially on Thursday and Friday, after information on the loosened trading band and lowered petroleum price was released.

The biggest gainers of the week were all big stocks who have had a major impact on the market’s development. Staying ahead is BMC of Binh Dinh Minerals with a gain of 14.71 per cent to VND117,000; followed by TCT of Tay Ninh Cable Tour, up 14.15 per cent to VND121,000; and SJS under property business Song Da Urban – IZ Investment&Development, up 13.91 per cent to VND86,000.

Some listed companies were not so lucky, as last week was the deadline for dividend payments, leading to some heavy losses. TPC of Tan Dai Hung Plastic shot down 44.79 per cent to VND9,000, while REE of Refrigeration Engineering Electrical Corp was down 17.79 per cent to VND28,800.

Positive predictions

Local brokerage house EuroCapital has forecast that the stock market would warm up in the third quarter of the year, in its market review of the first six months of 2008, also predicting that the VN-Index would move by around 500-550 points, and the HASTC-Index around 150 points. The firm based their predictions on the business results of listed firms, investors’ sentiments and financial power, and capital intercommunication among investment channels. According to EuroCapital Securities, the business performance of listed companies will continue to reflect the impacts of the general economy on each business sector. For example, healthcare and telecommunications usually minimally affected by the general economy. Investors have become eager again to trade securities, after undergoing the hardest period. However, the flow of money from investors has been restrained due to high daily expenses, and caution in investment. In addition money from other investment channels like gold, US dollars or property, began flowing back into the securities market, contributing to keeping the balance between pipelined money (demand) and offered shares (supply), the firm added. — ▶ Comment OlderEntries » Archives January 2010 December 2009 November 2009 October 2009 September 2009 January 2009 December 2008 November 2008 October 2008 September 2008 August 2008 July 2008 June 2008 Uncategorized Vietnam Business Vietnam Society Vietnam Sports Vietnam Travel Politics-Society Vietnam Environment Etc Search for: RSS Feed Subscribe Subscribed Bao Viet Nam Sign me up Already have a WordPress.com account? Log in now. Bao Viet Nam Customize Subscribe Subscribed Sign up Log in Report this content View site in Reader Manage subscriptions Collapse this bar