USD slips below 109 mark

USD exchange rate today (January 17): Early morning of January 17, the State Bank announced the central exchange rate of the Vietnamese Dong to the USD decreased by 5 VND, currently at 24,333 VND.

Meanwhile, in the US market, the US Dollar Index (DXY) measuring the greenback's fluctuations against six major currencies (EUR, JPY, GBP, CAD, SEK, CHF) decreased by 0.11% to 108.98.

USD exchange rate today in the world

The US dollar fell in the last trading session, as traders digested a series of economic data to assess the prospects of a US Federal Reserve interest rate cut this year.

DXY Index volatility chart over the past 24 hours. Photo: Marketwatch

US retail sales rose 0.4% in December, according to data from the US Department of Commerce's Census Bureau.

Meanwhile, the number of Americans filing new claims for unemployment benefits rose more than expected last week, but remained at a healthy level, suggesting the labor market remains strong.

Meanwhile, the Philadelphia Fed's business index jumped to 44.3 in January, compared with a forecast of minus 5.

The DXY index pared earlier gains and fell 0.11% to 108.98.

“I don’t think retail sales really have a significant impact on the currency market,” said Vassili Serebriakov, foreign exchange strategist at UBS Investment Bank.

“CPI initially had a weakening effect on the dollar, but that quickly reversed. And I think that indicates that the market is still inclined to buy the greenback on dips, probably in anticipation of next week’s inauguration and the potential dollar-supportive policies of the incoming Trump administration, including the possibility of relatively rapid tariff increases,” Vassili Serebriakov stressed.

Donald Trump returns to the White House next week and analysts predict some of his policies will boost growth while adding to price pressures.

The focus of today will be the hearing of Mr. Scott Bessent, Mr. Trump's choice to be the US Treasury Secretary.

Bessent, who is facing questioning before the US Senate Finance Committee, is expected to clamp down on the US deficit and use tariffs as a negotiating tool to minimize the inflationary impact of future economic policies.

Traders increasingly worried about inflation have been buying stocks, sending the yield on the benchmark 10-year Treasury note down more than 13 basis points.
Treasury yields fell on January 16, after Federal Reserve Governor Christopher Waller said interest rates could still be cut three or four times this year if U.S. economic data shows signs of weakness.

Analysts also noted that while US consumer price data was better than expected, it still showed inflation above the Fed's target.

Elsewhere, the euro was steady at $1.029, while the pound fell 0.15 percent to $1.2226, as investors focused on monetary policy divergence, following a sell-off in government bonds and sterling last week.

The US dollar fell 0.67% against the Japanese yen to 155.43, its lowest level since December 19.

USD exchange rate today, January 17: USD slips below 109. Photo: Reuters

USD exchange rate today in the country

In the domestic market, at the beginning of the trading session on January 17, the State Bank announced the central exchange rate of the Vietnamese Dong against the USD decreased by 5 VND, currently at 24,333 VND.

* The reference exchange rate at the State Bank's transaction office remains unchanged, currently at 23,400 VND - 25,450 VND.

USD exchange rates at commercial banks are as follows: