Saigon Jewelry Company gold bar price started the week 0.35% higher at VND141.5 million (US$5,382.90) per tael.

Local bullion prices are around VND11.5 million per tael higher than global rates.

Gold ring price gained 0.36% to VND141 million per tael. A tael is 37.5 grams or 1.2 ounces.

Globally, gold rose on Monday as oil prices fell after U.S. President Donald Trump held off on ‌fresh attacks on Iran in hopes of a swift deal, slightly easing concerns over inflation and higher interest rates, Reuters reported.

Spot gold was up 0.4% at $4,055.76 per ounce. U.S. gold futures rose 0.9% to $4,054.00.

Oil prices dropped 5% while the U.S. dollar was under pressure, making dollar-priced bullion more affordable for holders of other currencies.

Gold bars at a store in Ho Chi Minh City. Photo by VnExpress/Quynh Tran

Gold made an upbeat but guarded start to the week as gains remain limited given the uncertainty around the oil markets and the Middle East, said Tim Waterer, chief market analyst at KCM Trade.

"A sustained break higher would ⁠likely require a clearer drop in oil prices, a softer dollar, or a shift in Fed rate expectations toward a more dovish stance," he said.

However, he added that any renewed escalation in the Middle East that pushes oil prices higher, or a strong nonfarm payrolls report that reinforces expectations of a September rate hike, could cap the upside.