Gold prices plunge from new peak

Gold prices on Tuesday jumped to a new peak in the morning but declined quickly in the afternoon.

SJC gold bar price hit VND78.8 million ($3,239.47) per tael at 2:50 p.m., down 1.87% from a new record of VND80.3 million it established a few hours earlier.

It, however, was still 0.51% higher from Monday. A tael equals 37.5 grams or 1.2 ounces.

Gold ring price went up 0.79% from Tuesday to VND63.6 million per tael.

Gold prices have been surging up in Vietnam in recent weeks and have repeatedly secured new records.

Analysts have said that the limited supply of gold, which is exclusively managed by the government, is the reason for the rise.

Before the U.S. weekend holiday, spot gold was up 0.4% at $2,052.69 per ounce, its highest level since Dec. 4, putting it on course for a 1.7% weekly gain.

This means gold bar price in Vietnam is now 30.5% higher than the global rate.