On the morning of June 14, the central exchange rate between VND and USD was announced by the State Bank at 23,700 VND, up 1 VND compared to yesterday. The USD price at the State Bank's Transaction Office remained at 23,400 VND for buying, but the selling price decreased by 2 VND, down to 24,833 VND.
On the contrary, the USD price at commercial banks increased simultaneously. For example, Eximbank added 10 VND, bringing the buying price to 23,270 VND and the selling price to 23,650 VND; Vietcombank increased 30 VND when buying to 23,300 VND and the selling price to 23,670 VND... In particular, the free USD kept the buying price at 23,480 VND but increased 30 VND when selling, to 23,580 VND.
Domestic USD price on the morning of June 14 increased in contrast to the world price
The international USD price decreased slightly at the beginning of the day when the USD-Index fell to 103.26 points, down 0.45 points compared to yesterday.
On June 13, the US consumer price index (CPI) report for May was announced to increase by 4% compared to the same period last year, marking the slowest annual increase since March 2021. According to Mr. David Bahnsen, Chief Investment Officer of Bahnsen Group, the CPI index falling to its lowest level in more than two years is evidence that inflation has been "defeated".
Following the report, investors are betting that the Federal Reserve will keep interest rates unchanged at its meeting ending on June 14 (US time) after the central bank has raised rates 10 times in a row. The latest forecast from CME Group's FedWatch tool is that there is a 91% chance that the Fed will keep interest rates at the current target of 5 - 5.2%.
If the Fed does not raise interest rates, the momentum supporting the greenback will no longer be strong. Meanwhile, low inflation has made investors more optimistic, helping stock indexes on Wall Street close in the green. At the end of the trading session on June 13, the Dow Jones index increased by 145.79 points, equivalent to 0.43%, to 34,212.12 points. The S&P 500 index added 0.69% to 4,369.01 points and the Nasdaq Composite index increased 0.83% to 13,573.32 points. Both the S&P 500 and Nasdaq Composite indexes recorded new highs since April 2022.
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