Sai Gon Jewellery, Bao Tin Minh Chau, Agribank Gold, the Jewellery Co (AJC), the Sacombank Jewellery Co, the Phu Nhuan Jewellery Co and Doji quoted prices of VND39.86-39.91 million per tael (one tael is equal to 1.2 ounces).

The gold price jumped to an all-time high of VND40.18 million per tael on July 30 as the global price surged to create an investment haven. Since the beginning of the year, the domestic gold price has surged by 17 per cent.

Nguyen Huu Dang, an AJC senior official, told the Viet Nam News that, while the domestic price increase had followed a global price boosted by the US debt limit, the clinched deal had stopped the surge.

Spot gold, which reached a lifetime record of $1,637 on July 30, yesterday lost 1.3 per cent to $1,607.45 an ounce. Spot gold had increased by 8.5 per cent last month on the back of concerns that the sovereign-debt crises in the US and Europe might derail global economic recovery.

"The market will wait until Wednesday this week before saying anything about the movements of gold," Tran Quoc Quynh, from the Viet Nam Gold Traders Association, said.

Dang predicted that on Wednesday, the gold price would drop a little more before bouncing back to a new record high.