This price was VND300,000 per tael higher than last Saturday. A tael equals to 1.2 troy ounces.

As the price increased strongly, gold companies saw few customers buying on the day.

A representative from Phu Nhuan Jewelry Co. said that given the record price, customers mainly sold gold to take profits. Meanwhile, many gold traders and banks also refrained from selling gold, expecting the price to go up further.

Nguyen Cong Tuong, deputy head of the sales department of Saigon Jewelry Co. (SJC), said that few people bought gold on Monday due to caution or because they had sold the precious metal earlier.

Trading at the company was quite normal on Monday with total volume of around 2,000-3,000 taels, a level Tuong said was much lower than before February when the Government hinted at restricting gold trade in the future. At that time, SJC traded around 7,000-10,000 taels per day, he added.

“Most of big investors do not participate in the market now; they sold gold and put the money in banks instead,” Tuong said.

Gold shops around Ben Thanh and An Dong markets in HCMC saw fewer gold buyers during the day also.

The global gold price in Europe at one time on Monday exceeded the resistance level of US$1,600 an ounce. Therefore, the local gold price on Tuesday would continue rising.