God of Wealth drives demand for gold

Customers buy gold at the Bao Tin Minh Chau gold shop in Ha Noi. Domestic gold demand is expected to surge sharply today as Vietnamese tend to mark the God of Wealth Day with purchases of the yellow metal. - VNA/VNS Photo Doan Tung

It is believed that buying gold on this day, when the God of Wealth is said to return to heaven, brings good luck and prosperity throughout the year. The habit of buying the precious metal on this day has become popular in the northern cities and provinces only during the last three years, while it was commonly observed in the southern region for a long time.

To meet the predicted upswing in gold demand, major gold sellers have built up a considerable inventory of small gold bars. Last year, many gold sellers had to suffer because of a shortage of stocks after a higher-than-expected number of consumers flocked to buy gold on that day.

Gold traders expect many seekers of good fortune to queue up outside local stores to buy the precious metal as has been the case in previous years. They have also forecast gold demand to trend higher than previous years on the God of Wealth Day.

Gold company DOJI said it has produced about 50,000 gold products to be sold on the God of Wealth Day, much higher than last year's 30,000 products.

The Bao Tin Minh Chau and Phu Quy gold sellers also confirmed they have tripled their output of unique gold items to be sold on this day.

Major gold companies, such as SJC, Bao Tin Minh Chau, DOJI and Phu Quy have also switched to selling different kinds of gold products to replace the gold bars, including packaged gold rings and sheets showcasing the 12 animals of the zodiac.

Yesterday, gold traders also hiked the selling prices by hundreds of thousands of dong, compared with the day before.

DOJI listed the price of a tael at VND35.69 million (US$1,667.8), up VND240,000 against the previous day. Phu Nhuan PNJ and SJC also raised prices by VND190,000 and VND200,000 per tael to VND35.62 million and VND35.68 million, respectively.