USD price on the free market increased

In the first week of September, the central exchange rate as well as the USD price on the official market were quite stable, but on the free market it increased, at times approaching the threshold of 26,900 VND/USD.

At the end of the week, the central exchange rate announced by the State Bank was 25,248 VND/USD, unchanged from the previous session. With a 5% band applied, the ceiling and floor rates were 26,510 VND/USD and 23,986 VND/USD, respectively.

At the State Bank of Vietnam, the reference exchange rate is listed at 24,036 VND/USD (buy) - 26,460 VND/USD (sell). In the first week of September, the central exchange rate increased slightly by 8 VND compared to the end of last week, after a sharp decrease of 58 VND in the last week of August.

Exchange rate on the official market is stable. Illustrative photo

Meanwhile, the listed prices at commercial banks increased and decreased in opposite directions. Specifically, at the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank), the listed USD exchange rate increased by 28 VND for buying and increased by 8 VND for selling, to 26,160 VND/USD (buy) - 26,510 VND/USD (sell). Meanwhile, the exchange rate at the Joint Stock Commercial Bank for Investment and Development of Vietnam ( BIDV ) decreased by 43 VND for buying and 2 VND for selling, to 26,140 VND/USD (buy) - 26,500 VND/USD (sell).

In contrast to the stability of the official channel, the free market recorded stronger fluctuations, the selling rate increased to 26,900 VND/USD, equivalent to an increase of 180 VND.

In the international market, the DXY index, which measures the strength of the USD against 6 other major currencies in the currency basket, had a week of decline, falling below the 98-point threshold to 97.94 points. According to experts, the greenback weakened when the US Federal Reserve (FED) could cut interest rates in September, combined with unfavorable information about the economy and the labor market, causing the USD to continue to fall in value.

Other currencies such as EUR and British Pound (GBP) also fluctuated a lot last week. Specifically, the EUR listed by Vietcombank was 29,978 VND/EUR (buy) - 31,558 VND/EUR (sell), up 33.2 VND for buying and 34.9 VND for selling. However, at BIDV, EUR decreased 49 VND for buying, to 30,327 VND/EUR, keeping the selling price unchanged at 31,571 VND/EUR.

GBP exchange rate decreased by 69.4 - 72.4 VND to 34,571 VND/GBP (buy) - 36,038 VND/GBP (sell).

Last week, in the open market mortgage channel, the winning bid volume reached VND49,429.11 billion for the following terms: 7 days, 14 days, 28 days, with an interest rate of 4%; meanwhile, up to VND80,153.66 billion matured in the mortgage channel.

The State Bank has stopped offering treasury bills since the end of July. At the end of the week, the State Bank strongly withdrew VND30,724.55 billion through the open market channel; VND150,939.15 billion was still circulating on the mortgage channel, there were no more treasury bills circulating on the market.

Also in the first week of September, interbank interest rates cooled down in some short terms, while long terms remained relatively stable. Accordingly, at the end of the week, the overnight interest rate decreased to 4.7%/year, lower than the 4.99% recorded on September 3, but still much higher than the end of August (2.03%). Thus, the overnight interest rate increased sharply by 2.67%/year; the 1-week and 2-week terms increased by 0.96% and 0.29%, respectively, to 4.8%/year and 5.13%/year; the 1-month term decreased by 0.24% to 4.87%/year. The 3-month term remained almost unchanged, increasing by only 0.04%.

Source: https://hanoimoi.vn/gia-usd-tren-thi-truong-tu-do-tang-cao-715282.html