Foreign exchange prices on January 5, 2025: USD slows down after a series of strong growth

DNVN - On January 5, 2025, the central exchange rate of the Vietnamese Dong against the USD continued to increase by 12 VND compared to last week, reaching 24,334 VND.

USD exchange rate on the world market

The Dollar Index (DXY) recorded 108.94, unchanged from the previous trading day, reflecting the stability of the USD compared to 6 other major currencies, including EUR, JPY, GBP, CAD, SEK, and CHF.

The dollar rose 0.06 percent to 108.06 on Monday, buoyed by expectations that the Fed will slow its pace of interest rate cuts next year. The dollar has gained recently on expectations that the Fed will adopt a less dovish policy as inflation remains above its 2 percent annual target. Experts say President-elect Donald Trump’s economic policies could accelerate growth and add to price pressures next year.

The greenback edged up 0.35% to 108.48 on January 1, buoyed by expectations that U.S. interest rates will remain higher than those in other countries, giving the currency an advantage. “Concerns about slowing global economic growth amid geopolitical uncertainty” also helped bolster the dollar, according to Action Economics.

On January 2, the DXY index remained at 108.48, demonstrating the stable strength of the USD amid cautious market sentiment. The forecast that the Fed may continue to cut interest rates in the near future has given investors more hope.

The greenback jumped 0.75% to 109.24 on January 3, boosted by expectations that the US economy will outperform other countries and that US interest rates will remain high. The dollar could continue to strengthen in 2025 if the Fed maintains its cautious rate-cutting strategy while Trump’s policies boost inflation expectations. While changes from Japan or the ECB could cause volatility, the outlook for the dollar remains positive.

The USD ended the week slightly down 0.47% to 108.92 but still recorded its strongest weekly gain in a month thanks to forecasts that the US economy will continue to lead other countries. However, uncertainty related to the new policies of the US government may slow the USD's rise in the short term.

Domestic USD exchange rate

In the domestic market, on January 5, the central exchange rate of the Vietnamese Dong to the USD increased by 12 VND, currently at 24,334 VND.

At the State Bank of Vietnam, the reference buying and selling exchange rates remained unchanged, reaching VND23,400 and VND25,450.

Vietcombank reduced the USD exchange rate to 25,220 - 25,550 VND/USD for both buying and selling, down 9 VND compared to the previous session.

TPB Bank is offering the lowest rates for cash purchases and USD transfers, at VND24,390 and VND24,430 per USD, respectively.

HSBC Bank recorded the highest price for buying USD cash at VND25,342. Meanwhile, VietinBank took the lead in buying USD transfers at VND25,559.

Regarding selling price, TPB Bank offers the lowest price of VND 24,870 for cash. Meanwhile, VIB applies the lowest price for transfer selling at VND 25,525. NCB Bank records the highest price for both cash selling and USD transfer, both at VND 25,551.

The EUR exchange rate at the State Bank of Vietnam slightly decreased to 23,740 VND for buying and 26,239 VND for selling.

For Japanese yen, the exchange rate at the State Bank of Vietnam remained unchanged, at 147 VND for buying and 162 VND for selling.

Viet Anh (t/h)

Source: https://doanhnghiepvn.vn/kinh-te/gia-ngoai-te-ngay-5-1-2025-usd-giam-toc-sau-chuoi-tang-truong-manh/20250105090505926