Economic news review May 29

The central exchange rate decreased by 3 VND, the VN-Index decreased by 9.09 points, or 4 state-owned banks will directly sell gold to people at a price within the range allowed by the State Bank, not providing gold to organizations... are some notable economic information on May 29.

Economic news review

Domestic news

In the foreign exchange market on May 29, the State Bank listed the central exchange rate at 24,253 VND/USD, down 3 VND compared to the previous session.

The State Bank of Vietnam's transaction office continues to maintain the USD buying and selling prices and lists them at 23,400 VND/USD and 25,450 VND/USD, respectively.

On the interbank market, the dollar-dong exchange rate closed at 25,454 VND/USD, down slightly by 4 VND compared to the session on May 28.

The dollar-dong exchange rate on the free market decreased by 10 VND in both buying and selling directions, trading at 25,750 VND/USD and 25,830 VND/USD.

On May 29, the average interbank VND interest rate continued to decrease sharply by 0.25 - 0.78 percentage points for all terms of 1 month or less compared to the previous session; specifically: overnight 4.04%; 1 week 4.40%; 2 weeks 4.71% and 1 month 5.11%.

The average interbank USD interest rate decreased by 0.01 - 0.04 percentage points at all terms, trading at: overnight 5.27%; 1 week 5.32%; 2 weeks 5.38%, 1 month 5.42%.

Government bond yields in the secondary market remained unchanged for the 3-year term while decreasing for the remaining terms; closing at: 3-year 1.90%; 5-year 2.04%; 7-year 2.32%; 10-year 2.86%; 15-year 3.02%.

In open market operations, on the mortgage channel, the State Bank of Vietnam bid 5,000 billion VND with a term of 14 days, the interest rate remained at 4.5%. There were 3,109.63 billion VND won bids, there were 24,999.99 billion VND matured. The State Bank of Vietnam bid 28-day SBV bills, bidding interest rates. There were 5,150 billion VND of bills won bids with the interest rate increased to 4.25%, no bills matured.

Thus, the State Bank of Vietnam withdrew a net VND27,040.36 billion from the market, the volume of treasury bills circulating in the market increased to VND61,840 billion, the volume on the mortgage channel decreased to VND81,766.82 billion.

On the bond market on May 29, the State Treasury called for bids of VND9,000 billion in government bonds, with the winning bid volume only reaching VND1,050 billion, equivalent to 12%. Of which, the 5-year term mobilized VND1,000 billion/VND2,500 billion bid and the 30-year term mobilized VND50 billion/VND1,000 billion bid. The 7-year, 10-year and 15-year terms called for bids of VND500 billion, VND3,000 billion and VND2,000 billion respectively, but there was no winning bid volume. The winning bid interest rate for the 5-year term was 1.80% (+0.05 percentage points compared to the previous auction) and for the 30-year term was 3.10% (+0.04 percentage points).

Yesterday's stock market only kept green in the first half of the morning session and then decreased again. At the end of the session, VN-Index decreased by 9.09 points (-0.71%) to 1,272.64 points; HNX-Index lost 1.43 points (-0.58%) to 244.15 points; UPCoM-Index increased by 0.31 points (+0.31%) to 95.92 points. Market liquidity increased compared to the previous session with a trading value of nearly VND 28,500 billion. Foreign investors continued to net sell strongly by nearly VND 1,630 billion on all 3 exchanges.

International News

The German Federal Statistical Office Destatis announced that the country's headline consumer price index (CPI) rose slightly by 0.1% month-on-month in May, a significant deceleration from the 0.5% increase in the previous month and lower than the forecast 0.2% increase. Compared to the same period in 2023, the German headline CPI increased by about 2.4% and the core CPI increased by about 3.0%.

In addition, the German consumer confidence index surveyed by GfK reached -20.9 points in May, more positive than the -24.0 points in April as well as the market forecast of -22.5 points. This is the fourth consecutive month of recovery for this index.

The headline CPI in Australia rose 3.6% year-on-year in April, up from 3.5% in the previous month and against expectations of a 3.4% deceleration. Core CPI in April also rose to 4.1% year-on-year from 4.0% in March. Further, construction completions in Australia fell sharply by 2.9% quarter-on-quarter in the first quarter of 2024 after rising 1.8% in the previous quarter, against expectations of a slight 0.6% increase. Construction volumes in the first quarter increased by 1.8% year-on-year in the first quarter of 2023.

Today, the market is waiting for the US to release the second preliminary GDP report for the first quarter. The market predicts that the GDP growth of the last quarter will be adjusted down to 1.2% compared to the previous quarter from 1.6% according to the first preliminary statistical results.

Source: https://thoibaonganhang.vn/diem-lai-thong-tin-kinh-te-ngay-295-152165-152165.html