Gold prices have experienced a dramatic drop, putting many investors in a difficult position as they face substantial losses. The decline is attributed to pressure from the strengthening US dollar and the Federal Reserve's hawkish stance. As the trading week concluded on June 20, the price of SJC gold was listed at 144.2-147.2 million VND per tael, a significant decrease from its peak of 149.8-151.8 million VND per tael on June 17.

Compared to the peak, this represents a decline of 5.6 million VND for buying and 4.6 million VND for selling. The difference between buying and selling prices stands at 3 million VND per tael. Earlier this year, gold reached a historic high of 191.3 million VND per tael at the end of January. Currently, with the buying price at 144.2 million VND per tael, investors who bought at the peak are facing losses of up to 47.1 million VND per tael.

In the previous week, domestic gold prices fell amid a significant drop in global gold prices, which fell below the 4,200 USD per ounce mark and recorded three consecutive weeks of decline. A recent survey by Kitco News revealed that among ten experts, only one (10%) predicted an increase in gold prices for this week, while seven analysts (70%) expected further declines, and two (20%) believed prices would stabilize.

Interestingly, investor sentiment remains positive. An online poll with 46 participants showed that 25 (54%) believe gold prices will rise, while 16 (35%) expect a decline, and five (11%) predict stability in the market. Darin Newsom, a senior market analyst at Barchart, suggested that gold prices may continue to decrease this week. Although central banks are still purchasing gold, investors are selling off their holdings.

Market analysts, including Alex Kuptsikevich from FxPro, indicated that gold prices could test the 4,000 USD per ounce mark again in the coming week. Michael Moor, founder of Moor Analytics, also leans towards a short-term decline, despite potential technical rebounds in the market. Nicky Shiels, Head of Precious Metals Research and Strategy at MKS PAMP, noted that recent signals from the Federal Reserve do not favor the gold market. She emphasized that the recent recovery in gold prices from the 4,000 USD per ounce level may be tactical rather than indicative of a long-term upward trend.

Shiels advised investors to interpret the current Fed statements as more hawkish than previously expected until the Fed announces its policy assessment in about six weeks. She cautioned that this is a time for caution and prioritizing profit-taking rather than chasing short-term price increases.

This week, investors will focus on a series of important economic data from the United States, including GDP growth figures for Q1, the PCE inflation index (the Fed's preferred inflation measure), and indicators reflecting the health of the manufacturing and services sectors in June. On Tuesday, S&P Global will release the preliminary global Purchasing Managers' Index (PMI). On Wednesday, the market will monitor the new home sales report for May. Data on weekly unemployment claims and orders for May will be released the following day, and the week will conclude with the University of Michigan's consumer sentiment index for June.